SINGAPORE, June 5 -- Grab's new taxi service, GrabCab, will launch in July with an initial fleet of 40 fifth-generation Toyota Prius electric hybrid taxis, making it Singapore's sixth taxi operator.

GrabCab, a subsidiary of GrabRentals, announced that it plans to gradually expand its fleet, with Hyundai Kona electric hybrids joining in August and a fully electric vehicle expected in 2025, according to a report published in The Straits Times today.

The company aims to meet the Land Transport Authority's minimum fleet requirement of 800 taxis for a street-hail operator licence within three years.

Director of GrabRentals Victor Sim said around 700 to 800 drivers have applied to join GrabCab, with 400 to 500 selected based on eligibility, ...