How will Trans-Cab make its comeback?
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IT WAS a fiasco that left no one smelling like a rose. Just a day before the keenly-anticipated initial public offering (IPO) of taxi operator Trans-Cab closed on Nov 18, the company pulled the plug on its plans to raise S$100 million as word surfaced about a yet-to-be invoiced additional insurance premium amounting to an estimated S$1.8 million.
Now, investors are left wondering if there is more than meets the eye. It is unclear whether the insurance adjustment refers to the same insurance issue mentioned in the letter from purported whistleblower "S. S. Phoa" to the Singapore Exchange (SGX) - the one that claimed that Trans-Cab owed some S$50 million.
It is also unclear whether the preliminary estimate of S$1.8 million could balloon to a larger, more significant amount.
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