NEW YORK (TheStreet) -- Shares of Priceline Group (PCLN) were declining, lower by 0.54% to $1,202 in late morning trading Tuesday, after the company announced that it will invest an additional $250 million in Ctrip.com International (CTRP) earlier this morning.
The company said it will pay the amount through a combination of a convertible bond investment and open market share purchases.
Priceline now has a 10.5% stake in the Chinese travel site.
"We consider Ctrip a market leader in China and we're investing in a company and a team that we believe fits well with our long-term view of China as a market and the Chinese people as global travelers," said Priceline CEO Darren Huston in a statement.
In August, Priceline announced a $500 million buy-in. The company also has the option to increase its stake in Ctrip.com to 15%.
Norwalk, Conn.-based Priceline Group provides online travel company that connects consumers wishing to make travel reservations with providers of travel services around the world.
The company offers consumers accommodation reservations through its various brands.
Separately, TheStreet Ratings team rates PRICELINE GROUP INC as a Buy with a ratings score of A-. TheStreet Ratings Team has this to say about their recommendation:
"We rate PRICELINE GROUP INC (PCLN) a BUY. This is based on the convergence of positive investment measures, which should help this stock outperform the majority of stocks that we rate. The company's strengths can be seen in multiple areas, such as its increase in net income, revenue growth, largely solid financial position with reasonable debt levels by most measures, notable return on equity and expanding profit margins. Although no company is perfect, currently we do not see any significant weaknesses which are likely to detract from the generally positive outlook."