Pursuits
China's Travel Site Tuniu Hurt by Economic Woes, Stronger Rivals
- Stock soared following 2014 debut has plummeted this year
- Ctrip, Qunar merger will control 80% of hotel, airfare market
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Investors are packing it in on Tuniu Corp., the once-high-flying Chinese online tour company that doubled in value within a month of its 2014 U.S. debut.
The Tuniu’s American depositary receipts have given back almost all of those gains, and now its two biggest rivals are joining forces amid the country’s deepest economic slowdown in 26 years. Since the stock hit a peak on Dec. 18, it has slumped 39 percent, the second worst performance in the Bloomberg China-US Equity Index, which slid 9 percent. The shares’ 50-day volatility is hovering around the highest since February 2015.