Swan Taxis backs bid by S’pore firm

July 17, 2010
Singapore Democrats

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AAP

Western Australia’s largest taxi operator Swan Taxis has advised its shareholders to accept a $38.8 million takeover offer from Singapore-based transport company ComfortDelGro.

Swan Taxis chairman and managing director Kevin Foley said the board had reviewed the offer and was “satisfied it represented a strong return to shareholders and the best opportunity to develop the business to meet growing demand”.

“For all our valued drivers and staff it will be business as usual,” Mr Foley said in a statement on Friday.

Swan Taxis said the proposal would not alter its operations and management in WA and Mr Foley would remain with the unlisted company to ensure continuity and stability within the future management.

“ComfortDelGro intends to continue Swan Taxis’ business without any major changes and ensures continued employment for existing Swan Taxis employees,” the statement said.

Swan Taxis’ suitor is the world’s second largest transport company and is one of the biggest private bus operators in NSW and Victoria.

It owns 75 per cent of SBS Transit, which is listed on the Singapore Stock Exchange.

http://news.smh.com.au/breaking-news-business/swan-taxis-backs-bid-by-singapore-firm-20100716-10dnm.html