Airbnb Inc.'s rival in China, Tujia.com, is now valued at more than $1.5 billion after raising $300 million to fund its expansion, Reuters reported.

The company is bumping up its efforts to benefit from Chinese tourists' growing demand for independent travel, the report added.

Chinese travel agency Ctrip.com International Ltd. and All-Stars Investment Ltd. led the investment round, with participation from China Renaissance's New Economy Fund, Glade Brook Capital and G Street Capital.

The funding will be channeled toward upgrading and standardizing the company's accommodations, as well as investments in foreign markets and domestic "high-end" real estate market, Reuters, citing Tujia founder Luo Jun.

Meanwhile, Airbnb, which was valued at $30 billion in 2016, is also expanding its footprint in China.

China Renaissance served as financial adviser to Tujia.