Brokers' take

ComfortDelGro | Hold Target price: S$2.16 March 27 close: S$2.02 CGS-CIMB, March 26

GRAB announced that it has acquired Uber Technologies' South-east Asia business, with the Uber app to be phased out in South-east Asia. Pursuant to this, we believe it is highly likely that ComfortDelGro's proposed tie-up with Uber could be renegotiated.

Many scenarios could pan out. We believe the lengthy review of the ComfortDelGro-Uber deal sets a precedence in terms of timeline for the review and sanctioning of the Grab-Uber deal as this merger could create another dominant market leader, this time among ride-hailing apps.