CDC BUYS SYDNEY’S FOREST COACHLINES
COMFORTDELGRO Corporation Limited (CDC) has – pending regulatory approval – increased its stakes in the lucrative Australian public transport and bus operator sectors with a A$110 million acquisition of FCL Holdings Pty Limited - which runs Forest Coach Lines in Northern Sydney and regional New South Wales, it’s reported. It has also acquired depot land and bus assets totalling A$24.45 million separately as part of an aggressive expansion plan.
The A$110 million acquisition of FCL Holdings Pty Limited, which runs Forest Coach Lines - Sydney’s oldest privately run family bus and coach operator, contributes to the group’s second biggest investment in Australia, behind only the 2008 purchase of the Kefford Group for A$149.2 million, it’s stated.
The group will also be acquiring two freehold depot sites – the Terrey Hills Depot and the Toormina Depot – at a total cost of A$15.45 million for the operation of the bus services, according to CDC.
Founded in 1930, FCL runs a fleet of 220 buses spread over eight depots. It operates Region 14 contract bus services in Metropolitan NSW, and other bus services in regional NSW.
In a separate transaction, CDC purchased the bus and coach assets of Coastal Liner Coaches, which operates route bus services in outer Sydney Metropolitan Bus Service Region 11 for A$9 million.
The acquisitions mark CDC’s third and fourth this year in Australia. In April 2018, it announced a A$30 million acquisition of National Patient Transport Pty Ltd, as well as an A$32.2 million purchase of Tullamarine Bus Lines Pty Ltd (TBL) in Victoria.
Singapore-based CDC is one of the world’s largest transport companies with a fleet of over 42,700 vehicles. It entered Australia in 2005.
Managing director/group CEO, Yang Ban Seng, said: “Australia has been a key investment target for the group given its transparent and stable regulatory environment, strong growth prospects and proximity to Singapore. With this acquisition, we now add on new footprints to our NSW operations.”
Above: Singaporebased CDC has snared Sydney’s iconic Forest Coachlines for A$110 million.