China Travel Service has obtained US$2.5 million in venture-capital investment from International Data Corp (IDC) to develop on-line travel services.

The money would be used to develop on-line hotel, flight and travel bookings, Lang Wei, general manager of China Travel Yinjian Tourism Network Technology, said.

The firm had been established by IDC's venture capital and investment from China Travel Service, They would not reveal how much China Travel, the country's biggest and most well-known travel agency, had invested.

"The main purpose of introducing the US venture-capital investment is to gain experience," Mr Lang said.

China Travel expected to obtain an additional $10 million in venture-capital investment from IDC next year, Mr Lang said.

The travel agency had been considering listing some of its assets on overseas or domestic stock markets, Mr Lang said. Its revenues have been forecast to rise more than 20 per cent this year from last year. REUTERS