Dubai Taxi buys rival for $395m

Dubai Taxi Company, a subsidiary of the emirate’s transport regulator, has agreed to buy National Taxi, which operates in Dubai, Abu Dhabi and Al Ain.

The deal is valued at AED1.45 billion ($395 million). It will be funded through new bank debt facilities without any new equity issuance, DTC said in a statement to the Dubai Financial Market.

DTC’s market share in Dubai will rise from 47 percent to 59 percent. Its entry into Abu Dhabi will give it 12 percent of the market.

The transaction is expected to close in the third quarter of this year, subject to regulatory approvals.

DTC will retain the National Taxi brand, but will consolidate central functions such as finance, procurement and back-office operations, the statement said.

Group CEO, Mansoor Rahma Alfalasi, said buying National Taxi is expected to increase DTC’s profits from the first full year after the deal closes.

National Taxi was founded in 2000 in Dubai and operates 2,500 licensed plates and a fleet of over 2,700 vehicles across the UAE. It generated net revenue of AED774 million by the end of July 31, 2025.

The combined fleet is expected to exceed 14,000 vehicles as of May 2026, serving an estimated 78 million annual trips across the UAE.

Further reading:

• Dubai Taxi revenue falls as war dents March performance
• Dubai Taxi’s results a sign of healthy tourism trade
• Dubai to roll out autonomous taxis next month, says DTC

This month DTC said its revenue dropped 6 percent year on year in March as the regional conflict reduced tourist inflows, affecting activity. Net profit fell 39 percent to AED51 million over the first quarter of the year despite a 25 percent jump in the combined January-February bottom line.

DTC is 75 percent owned by the state-backed Dubai Investment Fund.

Its share price closed 1 percent lower at AED2.01 on Wednesday. The share has fallen 7 percent year to date on the DFM.