SINGAPORE — Singapore’s second-largest taxi operator will be created as a result of a merger between Strides Taxi and Premier Taxis, according to a news release from transport operator SMRT on Thursday (13 Apr).
SMRT, which is owned by Temasek, said the merger will take effect from 1 May, and a new joint venture company called Strides Premier will be formed to hold the merged business.
The combined entity will have a fleet of about 2,500 taxis, overtaking second-largest operator Trans-Cab, which has about 2,170 taxis. ComfortDelGro has the largest fleet in Singapore, with around 8,700 taxis.
In a statement, SMRT said the merger would help safeguard the long-term interests of drivers and passengers, as well as enhancing efficiency, as the demand for taxis and private hire cars rebounds to pre-pandemic levels.
“Strides Premier will offer a full suite of technical expertise and workshop capabilities to service the expanded fleet,” SMRT said.
Strides Holdings, a wholly owned subsidiary of SMRT and the parent company of Strides Taxi and Strides Automotive, will hold a majority stake in Strides Premier.
Premier Corporation and BS Investors will jointly hold the remaining stake. The merger will also involve Strides Automotive Services and Premier Automotive Services.
CEO of Strides Premier Ang Wei Neng said the merger was a significant milestone to help drive greater efficiency and better services for both vehicle hirers and end users of taxis and private hire cars.
“As Strides Premier, we will continue to introduce innovative and flexible solutions to further enhance the overall end user experience in Singapore’s point-to-point industry,” said Mr Ang who is also a Member of Parliament for the West Coast GRC.
Founder of BS Capital Group Raymond Ng said the merger offered an opportunity for further growth, after the company’s acquisition of Premier Taxis last year.
“We are committed to serve our existing customers better and to attract more to join us in this competitive point-to-point market,” he said.
SMRT said the new joint venture company will work closely with National Taxi Association and National Transport Workers Union to engage existing drivers and staff of all the entities involved in the merger.
All current rental arrangements of the private hire cars, taxis, limousines and private cars will not be affected, and staff are expected to continue with their duties after the merger.
“Strides Premier is committed to a smooth transition for all parties. We look forward to serving our customers and hirers with a more attractive and sustainable suite of offering,” said SMRT.