Grab Halts Acquisition of Trans-cab Amid Antitrust Concerns

Grab, Southeast Asia’s largest ride-hailing and food delivery company, has canceled its planned acquisition of Trans-cab, Singapore’s third-largest taxi operator. This decision comes in the wake of concerns raised by Singapore’s competition watchdog, the Competition and Consumer Commission of Singapore (CCCS).

In a statement released on Thursday evening, CCCS confirmed that both Grab and Trans-cab had notified the commission on July 22 about their decision to halt the acquisition. “With the termination of the proposed acquisition, the parties have withdrawn their application to CCCS for a decision, and CCCS has accordingly ended its assessment of the proposed acquisition,” the CCCS statement read.

The move to end the acquisition process follows initial concerns raised by CCCS in October 2023 regarding the potential impact of the deal on market competition. Earlier this month, the commission had requested Grab and Trans-cab to propose solutions to address these antitrust issues.

The proposed acquisition, valued at approximately S$100 million (US$74.55 million), would have further consolidated Grab’s position in Singapore’s competitive ride-hailing market. Grab, already one of the top ride-hailing firms in the city-state, faced significant regulatory scrutiny over the potential reduction in competition the deal might have caused.

Yee Wee Tang, managing director at Grab Singapore, reiterated the company’s commitment to providing affordable and reliable transportation options. “The ruling does not change our determination to do everything that we can to offer affordable, reliable transport options to passengers in Singapore,” Yee stated in a statement to Reuters.