Southeast Asia’s leading ride-hailing company Grab has reportedly signed a deal for the purchase of all of the shares of Trans-cab, Singapore’s third-largest taxi operator.
The overall cost of the buyout was not disclosed in detail. Having said that, a source reported that the purchase is estimated to be around S$100 million . This includes Trans-cab’s fleet of more than 2,500 taxis and private-hire vehicles, maintenance workshop, and fuel pump operations.The acquisition is being done through Grab Rentals, the company’s private-hire department.
Speaking in an interview with The Straits Time, Trans-cab founder/chairman Teo Kiang Ang shared that the negotiations only began two months ago, and that government approval is still required for the agreement. “ It has been a 20-year journey, and many of our drivers have journeyed with me from day one. I am really reluctant to sell, but considering that the buyer has good technology and a strong platform, drivers can get more jobs and earn more income,”In a separate interview with The Business Times, Trans-cab’s general manager Jasmine Tan also stated that the acquisition will help Trans-cab make a digital shift, ensuring that its taxi drivers can continue to remain competitive.
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