COMPANIES & MARKETS

ISOTeam's SG Bike gets nod to acquire Mobike's 25,000 bike fleet

THE Land Transport Authority of Singapore (LTA) has granted ISOTeam’s 51 per cent-owned subsidiary, SG Bike, its in-principle approval to transfer Mobike’s bicycle sharing licence for 25,000 bicycles to SG Bike.

SG Bike will pay LTA a performance bond of S$750,000, which is S$30 per bike.

Both SG Bike and Mobike must demonstrate that SG Bike’s mobile app can be used to hire Mobike’s bicycles.

SG Bike must also surrender its own bike-sharing licence held since Oct 29, 2018, and that is valid till Oct 31, 2020.

sentifi.com

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Both parties must implement plans in accordance with information provided to LTA and provide evidence to show SG Bike has all the rights, title and interest with regards to the Mobike bicycles.

ISOTeam announced in August that SG Bike was buying Mobike’s bike-sharing licence and 25,000 bicycles in Singapore for S$2.54 million.

The shares of ISOTeam, which provides building maintenance and estate upgrading services, traded flat at S$0.23 as at 1.07pm.

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