ComfortDelGro Corporation Limited (SGX:C52) (“ComfortDelGro” or, “the Group”) announced that its wholly-owned subsidiary CityFleet Networks is acquiring Addison Lee – London’s leading iconic premium private hire, courier and black taxi provider for £269.1 million ($461.2 million).
Addison Lee is a leading premium point-to-point operator in the United Kingdom (UK) and is renowned for bringing quality and innovation into the sector. This acquisition serves as a catalyst for ComfortDelGro’s expansion into an attractive premium mobility segment, strengthening its overall point-to-point proposition in the UK and globally. On completion, the 7,500 drivers and 5,000 vehicles of the Addison Lee’s London-based network will complement CityFleet Networks’ existing private hire and black taxi fleets elsewhere in the UK including Liverpool, the Wirral, Chester and Aberdeen.
ComfortDelGro’s Managing Director / Group CEO, Mr Cheng Siak Kian said: “Addison Lee is an established leader in serving the differentiated premium segment in London. Beyond expanding our footprint in the UK, this acquisition will enable us to use Addison Lee’s expertise to deepen and scale our premium point-to-point capability globally. It will also strengthen our overall point-to-point proposition, creating strong synergy with our existing businesses.”
This acquisition will further grow the Group’s presence in the UK. In addition to operating CityFleet Networks in several locations across the UK, ComfortDelGro provides pre-planned and on-demand ground transportation to businesses, as well as private and ride-share transfers to airports, bus and train stations and ports through its recently acquired business, CMAC. The Group also owns and operates Metroline buses and Westbus coaches in London, Adventure Travel buses and coaches in Wales, as well as the Megabus, Scottish Citylink and Irish Citylink inter-city coach services.
Mr Liam Griffin, CEO of Addison Lee said: “Over the last four years, ComfortDelGro has demonstrated its deep knowledge of the business, and a clear understanding of our customers’ and drivers’ needs. This, alongside the strength and heritage of the Addison Lee brand, has positioned us perfectly for further expansion into the premium segment. ComfortDelGro is a perfect complementary fit for us. They share our philosophy, vision, and ambition for the Addison Lee brand and bring significant international industry expertise to the business.”
Prior to the acquisition, Liam Griffin and his team led a consortium that restructured the business and ensured it successfully weathered the COVID-19 pandemic before delivering strong growth and a return to healthy profit. He, along with the current key management will remain at the firm following the acquisition to drive the next phase of its growth.
ComfortDelGro Chairman, Mr Mark Greaves said: “This acquisition is in line with our strategy to expand the Group’s point-to-point mobility portfolio. We will use Addison Lee’s strong brand, customer base and reliable premium driver network to continue creating great journeys for our customers and the communities we serve – a commitment that we hold true across our businesses. With 90 percent of their existing fleet already made up of cleaner energy vehicles, this will help accelerate our fleet transition journey.”
The addition of Addison Lee will grow the Group’s taxi and private hire network to more than 34,000 vehicles globally.
Jefferies International acted as Addison Lee’s exclusive financial advisor on the transaction, with Linklaters LLP acting as legal advisor.
For further information, please refer to the Company’s SGX-Net Announcement.
