Link: https://links.sgx.com/1.0.0/corporate-announcements/V21KDX2VXZ4VJ7HZ/eaaf1d626fb2212a68fc6b3c8fe2f1c09b46ebc338da916e7fb1c63c345f7162

Summary:

• Transaction: On 1 September 2025, ST Engineering Land Systems Ltd (wholly-owned unit of ST Engineering) divested its entire 46.5% stake in CityCab Pte Ltd to ComfortDelGro Corporation Limited (which now owns 100% of CityCab).

• Consideration: S$116.3 million, fully paid in cash. The valuation (by Deloitte & Touche) as of 1 June 2025 was S$98.9 million for the Sale Shares.

• Valuation: The transaction represented an Enterprise Value/EBITDA multiple of 5.5x, based on CityCab’s LTM (last 12 months) unaudited EBITDA.

• Historical Context: ST Engineering was a founding investor in CityCab since 1995.

• Financial Effects:

  • The net tangible asset value and book value attributable to the stake: approx. S$36.0 million.

  • One-off gain on disposal for FY2025: approx. S$77.2 million.

  • Cash proceeds will be used to pay down debt, saving approx. S$4 million in annualized interest expense.

  • No material impact on the Group’s earnings per share or net tangible assets per share, except for the exceptional gain.

  • CityCab’s profit for 2024 attributed to the group was S$8.7 million (revenue not consolidated; equity accounted).

• Compliance: Non-disclosable transaction under SGX Chapter 10 (relative figures <5%).

• Rationale: Divestment aligns with ComfortDelGro’s point-to-point transport business focus in Singapore.

Announcement released 1 September 2025; by order of the Board, ST Engineering.