According to the Straits Times, Grab is buying Trans-Cab, Singapore’s third-largest taxi company, for about US $100 million.
With the acquisition, Grab will have control over more than 2,200 taxis and 300 private hire vehicles. The Straits Times was informed by sources that the transaction would be finished this week.
It would be the first time Grab had successfully acquired a Singapore taxi company if the deal goes through.
At the moment, the super app’s main goal is to pursue profitability. Its first quarter of 2023 revenue increased by 130% year over year to US $525 million. In addition, it cut its adjusted losses for the quarter by 77% year over year. In the year’s fourth quarter, the company hopes to achieve group-adjusted EBITDA breakeven.
To manage costs and ensure the company’s long-term growth, the company made a surprising decision last month to eliminate 1,000 jobs or about 11% of its workforce.
Grab hired Singaporean politician Tin Pei Ling earlier this year to serve as its director of public affairs and policy in the city-state. Later, she was moved into a position in corporate development.
Trans-Cab, Singapore’s largest private taxi company, was established 20 years ago. Trans-Cab taxis can now be booked through the Gojek app by Singaporeans thanks to a partnership that was announced in 2019.
