ComfortDelGro has entered a deal to acquire 90 percent of Ming Chuan Transportation, one of Singapore’s largest wheelchair transport service providers, for S$8.5 million, the land transport company said in a filing to SGX Monday.
The deal, which is via ComfortDelGro’s subsidiary ComfortDelGro MedCare, will include Ming Chuan’s 76-vehicle fleet and its 86 staff and drivers, the filing said.
That will boost ComfortDelGro MedCare’s fleet to 92 vehicles, making it Singapore’s largest wheelchair transport service provider, the filing said.
“This opportunity has come at a time of increased demand for transportation services for mobility impaired passengers and senior citizens. Indeed the healthcare sector has seen strong growth in the last two years amidst the pandemic,” Lim Tien Hock, ComfortDelGro MedCare’s CEO, said in the statement.
“With this acquisition, we are confident we can reach out to more passengers with mobility issues and better serve them with our dedicated and trained staff,” Lim said.
Currently, Ming Chuan has six clients which operate a network of day-care and physical disability centers in Singapore, the filing said.
Ming Chuan’s revenue increased 15 percent on-year in 2020, even though its business was at a “standstill” during Singapore’s Circuit Breaker period from April to June that year as the city-state imposed a lockdown to stem the spread of Covid-19, the filing said.
ComfortDelGro MedCare was launched in March 2021 to provide medical escort transport services and specialized transportation for people with mobility issues, including wheelchair users, people with disabilities and senior citizens.