Singapore's second largest taxi operator TransCab said on Monday it was scrapping its planned Initial Public Offering (IPO) a day before its shares were due to start trading, reported The Business Times.
The company, which had been looking to raise around S$114.2 million, said it was cancelling the offering due to new information relating to its insurance premium flagged by its insurer soon after launching its public offer on 12th November.
TransCab said it had not been aware it was likely to face an additional insurance premium of S$1.83 million due to cumulative accident claims made against its fleet of taxis.
It said that given its offering was due to close tomorrow, it did not have time to properly evaluate this new information, so it decided not to proceed with the listing.
"In the interest of investors, the company, on the advice of its professional advisors, deems it prudent not to proceed with the IPO at this juncture," TransCab said in a statement.
