ComfortDelGro adds 1,100 London drivers to fleet on UK expansion

It bought a London taxi circuit operator Dial-a-Cab for $2.2m.

ComfortDelGro Corporation is expanding its operations in the UK through a $2.2m (£1.2m) acquisition of Dial-a-Cab Limited, which is a taxi circuit operator in London.

According to an announcement, the deal, undertaken by ComfortDelGro’s wholly-owned subsidiary in the UK, CityFleet Networks Limited, "will enable the Group to grow and strengthen its position as the leading taxi circuit operator in London through an expansion of the customer base."

With about 1,900 London taxis currently subscribed to its Computer Cab plc circuit, ComfortDelGro is currently the largest taxi circuit operator in London, it said. When completed, the acquisition will add another 1,100 Black Cab drivers to the combined circuit, bringing the total fleet to 3,000.

ComfortDelGro managing director and group CEO Yang Ban Seng said, “This acquisition will enable the Group to grow and strengthen its position as the leading taxi circuit operator in London through an expansion of the customer and driver base. It will also help us achieve cost synergies through the consolidation of back-end processes and functions.”

Yang added that the London Councils and Transport for London have also recently awarded CityFleet Networks the Taxicard and Dial-A-Ride contract for another three years, with an option for a fourth.

According to ComfortDelGro, Taxicard is the largest public sector day-to-day transport service in London for passengers with serious mobility impairments or who are severely sight impaired. The contract covers all 32 London boroughs and the City of London. CityFleet has, through its taxi subsidiary Computer Cab, held this contract over several decades.

Besides its London taxi operations, ComfortDelGro also operates taxi despatch services in Liverpool and Aberdeen. It also operates scheduled bus services in London and inter-city express and general coach services across the UK and Ireland, catering to a wide spectrum of school, commuter, tourist and corporate coach passengers.

In February this year, ComfortDelGro announced a £13.4m acquisition of the New Adventure Travel Limited (NAT Group) which operates buses and coaches across four depots in Cardiff, Swansea, Newport, and Pontypridd.