ComfortDelGro unit buys British private hire company for £7.25 million

CITYFLEET Networks, a subsidiary of transport operator ComfortDelGro , has bought a private hire company based in the United Kingdom called Vedamain for £7.25 million (S$11.8 million).

The deal, which is for the entire issued shared capital of Vedamain, was paid for entirely in cash to its sellers Nigel Hugh David Thomas and Caroline Jane Thomas and funded through internal resources, said ComfortDelGro in a bourse filing on Friday (Mar 17).

Vedamain operates a fleet of about 500 private hire cars in Chester, England, under the KingKabs brand.

The purchase price was arrived at on a “willing buyer willing seller” basis following arm’s length negotiations, after taking into account the projected performance of Vedamain and historical analysis among other considerations, said the filing.

ComfortDelGro added that this acquisition has no material impact on its net tangible assets or earnings per share for the financial year ending Dec 31, 2023.

Its shares closed at S$1.17 on Friday, up 0.9 per cent or S$0.01, before the announcement.