U.K. Skyscanner Sold for $1.7 Billion to Chinese Ctrip

U.K. Skyscanner Sold for $1.7 Billion to Chinese Ctrip
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A day after the U.K. Chancellor of the Exchequer Philip Hammond highlighted the problem of British technology companies’ inability to grow to international scale, another one of its most promising startups was snapped up by a Chinese buyer, according to Bloomberg. Ctrip will buy air-ticketing specialist Skyscanner for about 1.4 billion pounds, as China’s biggest online travel company explores ways to expand beyond a home market it already dominates.

The deal marks another purchase of a U.K. tech firm by a foreign buyer. Skyscanner, based in Scotland, was valued at more than 1 billion pounds by investors after a financing round in January, according to a British securities filing. Ctrip, whose growth in years past was tied to the phenomenal rise of Chinese tourism, gains a strong foothold in Europe through the purchase of 13-year-old Skyscanner, one of the region’s larger flight ticketing services with more than 60 million monthly active users.

The Chinese company said the acquisition will help it offer users a more complete array of options that combine air, rail and road travel. Ctrip said in a statement that the purchase is “mainly“ a cash transaction, with the remainder consisting of equity and loans.