Core Viewpoint - Zhongyin International reports that Tongcheng Travel (00780.HK) announced the acquisition of Wanda Hotel Management for a consideration of 2.497 billion RMB, which is expected to lead to at least a 5% increase in annual revenue [1] Group 1: Acquisition Details - The acquisition price of 2.497 billion RMB translates to a price-to-earnings ratio of 116 times for 2024, which appears high at first glance [1] - However, after excluding non-operating losses, the adjusted operating profit multiple is only 10.6 times, making the valuation more reasonable [1] Group 2: Impact on Business - If the transaction is completed in the second half of this year, it will significantly enhance Tongcheng's hotel management business by entering the high-end hotel sector [1] - The asset is expected to contribute at least a 5% increase in revenue and an improvement in adjusted operating profit for Tongcheng [1] Group 3: Future Outlook - Zhongyin International maintains a positive outlook on Tongcheng's development prospects, believing that the strategy of strengthening differentiated service capabilities through acquisitions is correct [1]
中银国际：同程旅行(00780.HK)收购万达酒店管理 将带来最少5%全年收入增长