eLong entered into share transfer agreement for Nanjing Xici

BEIJING - eLong, Inc. (NASDAQ: LONG), a leading mobile and online travel service provider in China, announced that it entered into a share transfer agreement (the "Share Transfer Agreement") with respect to Nanjing Xici Information Technology Share Co., Ltd. ("Nanjing Xici").

On March 19, 2015, eLong, Inc., through its wholly-owned subsidiary eLongNet Information Technology (Beijing) Co., Ltd. and a consolidated affiliated company (together, "eLong"), entered into the Share Transfer Agreement with ADDOR Capital Management Co., Ltd. and its subsidiary Jiangsu Zijin Huiwen Media Investment Co., Ltd. ("JZH Media"), pursuant to which JZH Media will acquire a 90% equity interest and all assets relating to eLong's Nanjing Xici business for a purchase price of RMB76.5 million (US$12.2 million). Nanjing Xici operates a regional BBS business in Jiangsu Province, China. Immediately prior to entering into the Share Transfer Agreement, eLong and Nanjing Xici employees owned 95.05% and 4.95%, respectively, of Nanjing Xici. The Share Transfer Agreement also provides that eLong will transfer its remaining 5.05% equity interest in Nanjing Xici to employees of Nanjing Xici upon JZH Media's payment of the full purchase price.

eLong currently expects the transactions contemplated by the Share Transfer Agreement to be completed in the fourth quarter of 2015, and intends to use the funds received by eLong from the transactions for general corporate purposes.

sourced:traveldailynews.asia