Savico owns 40.03% of the capital in ComfortDelgro Savico Taxi. As of December 31, 2018, the carrying value of the capital contribution to ComfortDelgro Savico Taxi of Savico was more than VND 31.5 billion. Savico expects to collect nearly 31.47 billion dong from this work.
Saigon General Service (Savico, HoSE: SVC) has just released an official announcement on the dissolution of ComfortDelgro Savico Taxi Co., Ltd. The Board of Directors assigned the General Director to coordinate with the Savico capital representative group at ComfortDelgro Savico Taxi to deploy recovering capital for SVC timely and on time.
Currently, Savico owns 40.03% of the capital in ComfortDelgro Savico Taxi. As of December 31, 2018, the carrying value of the capital contribution to ComfortDelgro Savico Taxi of Savico was more than VND 31.5 billion. Savico expects to collect nearly 31.47 billion dong from this work.
Previously, Savico had planned with partner ComfortDelgro to complete the restructuring of taxi business of ComfortDelgro Savico Taxi, suspend taxi business from March 2018 and conduct research to find opportunities. suitable business association. On March 16, ComfortDelGro, Singapore’s largest taxi transport company, said taxi company ComfortDelGro Savico Taxi merged with VinaTaxi as part of a restructuring strategy to improve its taxi business efficiency in Ho Chi Minh City. At Tracodi’s 2018 Annual General Meeting of Shareholders (TCD), Vinataxi representative once again affirmed that this business is planning to merge with ComfortDelgro Savico Taxi. Even the deal is included in Vinataxi’s business plan this year.
ComfortDelgro Savico Taxi was formerly known as Savico Travel Taxi Enterprise, a subsidiary of Savico specializing in public passenger transportation by taxi from August 1996 to the end of May 2005. It was the first company. room in making 7-seat taxi model to serve passengers.
Before facing pressure from the technology taxi company, ComfortDelGro Savico Taxi also had difficulties in the new investment process. In 2013, continuing to implement the convoy structure, improve customer service, the company’s sales of sales and services increased by 15% compared to 2012, but because it was the first phase of the cycle. New investment, so the investment cost has greatly affected the efficiency of the unit.
And when both profits to offset the previous accumulated losses, the Company is subject to fierce market share competition from Grab and Uber. According to 2017 Savico Consolidated Financial Statements, the contribution from ComfortDelgro Savico Taxi is only 235 million VND of profit after tax. While in 2016, this figure reached nearly 3.3 billion and in 2015 reached 7 billion.
* Source: Young intellectuals