UPDATE 1-Malone's Liberty Interactive to take control of TripAdvisor
Dec 11 (Reuters) - Billionaire John Malone's Liberty Interactive Corp took control of travel information site TripAdvisor Inc after it bought about 5 million shares in the company from media veteran Barry Diller.
Shares of TripAdvisor jumped 7 percent to $41.12 on the Nasdaq, while those of peers Expedia Inc and Orbitz Worldwide Inc were also up in morning trade.
Diller resigned as TripAdvisor's chairman but will continue as a director, the companies said in a statement.
"My only reason for resigning as chairman and disposing of my interests is that I have more obligations than time," said Diller, who controlled the majority of voting rights in TripAdvisor through shares he owned and those granted in proxy by Liberty.
The transaction gives Liberty control of about 22 percent of TripAdvisor's common stock and 57 percent of its voting stock.
The existing agreement between Diller and Malone meant that if Diller left TripAdvisor, the proxy would terminate and Liberty could control the voting power of TripAdvisor's stock.