SINGAPORE: ComfortDelGro will acquire Australian bus company Tullamarine Bus Lines for A$32.2 million (S$32.7 million), it announced in a media release on Thursday (Apr 12).
This will be done through ComfortDelGro's wholly-owned subsidiary CDC Victoria, which already operates 81 public bus services across the western and eastern suburbs of Melbourne, as well as Ballarat and Geelong.
With the acquisition of Tullamarine, ComfortDelGro will "further strengthen" its presence in Australian state of Victoria, said the media release.
Tullamarine Bus Lines, a family-owned company, operates seven bus routes under contract with Public Transport Victoria, and is located close to Melbourne’s Tullamarine Airport in the north-west of Metropolitan Melbourne.
“The acquisition of Tullamarine Bus Lines is a strategic move to consolidate our operations in north-west Melbourne," said ComfortDelGro's managing director and group CEO Yang Ban Seng.
"The area has good population growth with many new developments in the pipeline. The continued growth of the Tullamarine Airport has also strengthened demand for public transport services in the area."
Added CEO of CDC Victoria Nicholas Yap: “We’re looking forward to continuing to deliver better bus services in the communities that we serve."
ComfortDelGro first entered the Australian market in 2005, when it acquired the businesses and assets of Westbus Group, the largest bus operator in New South Wales. It later expanded into Victoria in 2009 through the acquisition of the Kefford Corporation’s group of Victorian bus companies.
Earlier this week, the Singapore transport company had announced a S$30.2 million deal to expand into Australia's patient transportation business. It also announced the acquisition of the private bus chartering assets of Singapore's AZ Bus for S$10.25 million.