ComfortDelGro unit acquires part of Aussie bus group

Purchase consideration for the acquisition is around S$69.2m.

In a release, ComfortDelGro Corporation Limited (“ComfortDelGro”) wishes to announce that its subsidiary, ComfortDelGro Cabcharge Pty Ltd (“CDC”), is acquiring the following which are part of Deanes Transit Group (“DTG”) in Australia:

• The entire issued and paid-up capital of Baypalm Pty Ltd, which owns Deanes Bus Lines Pty Ltd; and
• The assets of Deanes Investments (ACT) Pty Ltd (collectively known as “Acquisitions”).

DTG is one of the largest privately owned regional bus operations in New South Wales, Australia. The Acquisitions are for DTG’s operations in Queanbeyan (New South Wales) and the Australian Capital Territory (ACT) regions. The purchase consideration for the Acquisitions is A$53 million (approximately S$69.2 million). The purchase consideration is approximately 6.8 times EBITDA (earnings before interest, taxes, depreciation and amortization).

The Acquisitions, which are subject to satisfactory completion of final due diligence and regulatory approval, will be financed by internal funds. The Acquisitions are not expected to have any material impact on the net tangible assets per share and the earnings per share of the ComfortDelGro Group for the financial year ending 31 December 2012.

None of the Directors of ComfortDelGro has an interest, direct or indirect, in the above transactions. As far as the Directors are aware, no controlling shareholder of ComfortDelGro has an interest, direct or indirect, in the above transactions.