Leading travel SOEs to merge Share prices rise on the announcement

The merger of two major State-owned travel companies will create China's largest tourism group. The new merged company is expected to better strengthen resources and services.

The State Council has approved the combination of CITS Group Corp and China National Travel Service (HK) Group Corp.

Experts said the merger will help the industry better integrate upstream and downstream companies, and further improve the functions of the tourism industry. The combination of similar assets and resources will help enterprises to enhance their competitive advantages.