Transport network company (TNC) Grab Philippines said its acquisition of Uber assets and the full transition of accredited Uber drivers to the Grab platform will push through even with the ongoing antitrust investigation on the merger.
In a statement posted on its website, Grab Philippines Public Affairs head Leo Gonzales said the company will cooperate with the review conducted by the Philippine Competition Commission (PCC) and will prepare the necessary documents and share information required by the commission.
“We are willing to collaborate with the government and regulatory bodies, as always, to ensure that we fairly address the needs of our stakeholders,” Gonzales said.
The PCC earlier said that it has begun a motu proprio review on the acquisition by Grab of the assets of Uber as it has not received any notification of the transaction from the parties.
“The parties also made representations that the transaction is not covered by the compulsory notification requirements under the Philippine Competition Act,” the PCC said.
Under PCC’s new order, a transaction is notifiable if the size of the transaction reached P2 billion ($38 million), or if the size of the party is P5 billion ($96 million). If the transaction is notifiable, Grab and Uber are not allowed to consummate the deal without the approval of the PCC.
However, Land Transportation Franchising and Regulatory Board (LTFRB) spokesman Aileen Lizada said that officials of Grab told her that the transaction was less than the thresholds set by the PCC, and, thus, it does not require the parties to notify the competition watchdog.
The PCC said its preliminary assessment of the Grab-Uber transaction, conducted by the Mergers and Acquisitions Office, indicated that there are reasonable grounds that the said acquisition may likely substantially lessen, prevent, or restrict competition.
Gonzales said Grab expected that the PCC, as a quasi-judicial body mandated to implement the national competition policy, would conduct a review of the merger to understand the impact on consumers and driver-partners.
“As PCC conducts its review, Grab will continue to put utmost support to ensure the full transition of accredited Uber drivers,” he said.