Singapore transport giant ComfortDelGro Corp will acquire the assets of home-grown private bus chartering firm AZ Bus for S$10.25 million ($7.83 million).
A statement on Tuesday (April 10) said the acquisition will be conducted through its local bus charter arm ComfortDelGro Bus and will include AZ Bus’ existing charter contracts, 94 buses, as well as the transfer of drivers.
The deal will increase ComfortDelGro Bus’ fleet to 300 buses. Including sub-contractors’ buses, the total fleet will be about 460 buses, strengthening its position as Singapore’s largest private bus charter operator.
AZ Bus was established in 1985 as Yeo Keng Sin Transport Service and operates private charter, school bus and tour bus services.
Its customers include American, Japanese and Korean multinational corporations as well as local enterprises from industries such as manufacturing, construction and leisure & hospitality.
ComfortDelGro Bus, which also operates premium bus services and shuttle bus services, recently secured a 10-year contract by Shell Eastern Petroleum to provide bus services in Pulau Bukom.
ComfortDelGro managing director and group CEO Mr Yang Ban Seng said: “Private charter continues to see strong growth thanks to corporate hire and large ad hoc events. With this acquisition, we will be able to leverage on size and scale as we bid for even more contracts.”
NPT currently boasts a fleet of 144 vehicles and operates in the states of Victoria, New South Wales and Western Australia.