The Philippines’ newest incubator, Cerebro Labs, seeks to aid millennial startup entrepreneurs while the Philippine Competition Commission (PCC) has raised the mandatory threshold for merger and acquisition transactions.
Cerebro Labs eyes millennial startups
Cerebro Labs, the newest incubator based in Manila, aims to impart knowledge and expertise to millennial startup entrepreneurs and enable collaboration between traditional businesses and startups.
In a statement, Cerebro Labs, founded by professionals with backgrounds in law, accounting, and engineering, said it also seeks to generate more opportunities for Filipino college graduates so that they do not have to go abroad to find better jobs.
Lawyer May Quizan, Planning and Innovation Director of Cerebro Labs, said, while the founders of Cerebro Labs are transitioning from conventional industries to technology-driven businesses, they hope to impart their knowledge and expertise to millennial startup entrepreneurs.
The incubator has opened its first startup challenge last January. Winners of the competition will have the chance to win up to P500,000 ($10,000) seed funding and P2 million ($38,000) worth of support services including mentoring, office space, and access to Cerebro’s network to different industries.
Antitrust body raises mandatory M&A threshold
The Philippine Competition Commission (PCC), the country’s antitrust body, has raised the mandatory P1-billion ($19 million) threshold for merger and acquisition transactions to keep up with the recent economic developments, according to a statement posted on its website.
Under PCC Memorandum Circular, the new threshold should be P5 billion ($96 million) for the size of person or one of the parties involved, who breach the threshold in terms of assets or revenue derived from the Philippines; and P2 billion ($38 million) for the size of the transaction.
The threshold determines if a transaction triggers pre-merger reporting requirements to the PCC
“The adjustment stems from various considerations, including the size of actual notifications to date, the country’s economic growth, overall inflation, and efficient use of the Commission’s limited resources,” PCC Chairman Arsenio M. Balisacan said.
The new thresholds will take effect 15 days after its publication but do not apply to M&As pending review by the Commission; notifiable transactions consummated before the effectivity of the Memorandum Circular; and transactions already subject of a decision by the Commission.