PCC wants Grab, Uber to continue independent operations beyond April 8

Antitrust watchdog Philippine Competition Commission (PCC) on Thursday asked the country's two main transport network companies (TNCs) to continue independent operations beyond April 8.

During a public consultation in Pasig City, PCC Commissioner Stella Luz Quimbo said the PCC plans to mandate both Grab and Uber to continue their individual operations while it conducts a review of the acquisition deal.

"We will impose that the Uber and Grab apps will continue to operate beyond April 8 and that they will be operated independently," she said.

According to Quimbo, the interim measure was needed for the PCC to be able to do an independent motu proprio review on the acquisition by Grab Holdings Inc. of the Southeast Asian business of Uber Technologies Inc.

For them to be able to do a thorough review on the matter, both Grab and Uber will have to maintain the independence of their business operations and other conditions prevailing to March 25, 2018, when the transaction was announced.

As a result of the acquisition, the companies will implement an operational merger in the Philippines, with Uber operations to totally stop on April 8.

For its part, grab said the interim measures will not be necessary as the end result of the transaction will supposedly not have any effect on competition in the country.

"The interim measure will not be necessary because the concerns are not really real," Grab external counsel Atty. Arlene Maneja said during the hearing.

This was mirrored by Uber who said that it can no longer continue operations beyond April 8 as it no longer has any funds.

"Uber has exited eight markets in Southeast Asia as of last Monday... We no longer have people in these markets. We no longer have any funding in these markets," Uber Asia Pacific business head Brooks Entwistle said. — RSJ, GMA News