ComfortDelGro Corporation has made a A$38.8 million ($46.8 million) takeover bid for Swan Taxis Limited, the largest provider of taxi services in the Perth metropolitan market with 1,667 taxis or a 91% share of the market.

If successful, ComfortDelGro says the move will further extend its presence in Australia where it is already one of the largest private bus operators in New South Wales and Victoria.

ComfortDelGro’s offer is for all the shares and options in Swan Taxis, which has been in existence since 1928. Besides operating in Perth, Swan Taxis also provides bureau despatch services in Karratha, a town located 1,500 km north of Perth and Mandurah, the second largest city in Western Australia located 72 km south of Perth. For the 12 months ended 30 June 2009, Swan Taxis turned in a revenue of A$13.3 million and profit before tax of A$4.6 million.

As required by the Australian Corporations Act 2001, ComfortDelGro and Swan Taxis have lodged a Bidder’s Statement, a Target’s Statement and the Independent Expert’s Report with the Australian Securities and Investment Commission. These documents, together with an offer letter from ComfortDelGro, will be sent to all shareholders in two weeks’ time.

Thereafter, shareholders will have seven weeks to accept the offer, which is conditional upon approval from the regulatory authorities. A compulsory acquisition of all shares will be made once the minimum threshold of 90% acceptances is reached.