Hot stock: Shares in ComfortDelGro down; eyes ASX listing for Australian subsidiary

SHARES of ComfortDelGro Corporation C52 were down in the morning on Tuesday.

The mainboard-listed transport operator was at a low of S$1.60 as at 11.13am, down S$0.07 or 4.2 per cent, with 17.7 million shares traded.

No married deals were recorded, according to ShareInvestor data.

Shares later eased slightly to S$1.61 at the midday break, down S$0.06 or 3.6 per cent. The stock remained one of the top traded counters by volume in the day, with 21.9 million shares worth S$35.8 million changing hands.

ComfortDelGro had on Monday announced that it is looking to list its wholly-owned subsidiary, ComfortDelGro Corporation Australia, on the Australian Securities Exchange (ASX), with the initial public offering (IPO) planned for the last quarter of 2021.

Australia is ComfortDelGro's single largest overseas investment destination, with a total investment of S$1.17 billion to date. The Australian business, which started 16 years ago with the acquisition of a bus operator in New South Wales, had generated revenue of S$608 million for the year ended Dec 31, 2020.

Last Friday, ComfortDelGro also logged S$91 million in net profit for six months ended June 2021, reversing a S$6.6 million loss in the year-ago period, due to a gradual resumption of global economy activity amid the pandemic.

The counter ended the day at S$1.62, down five cents or about 3 per cent, with some 33.63 million shares changing hands.

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