PCC ordered Uber to extend operations in PH!

Few weeks back, Grab announced it acquired Uber's in Southeast Asian business, the largest acquisition by a Southeast Asian internet company.

Uber's logo

It would make Grab as the sole major ride-hailing app in the Philippines. The acquisition will make Grab control around 80 percent of the market.

But today, the Philippine Competition Commission (PCC) has just ordered Uber to continue its services beyond April 8!

According to Inquirer's report, the order will delay Grab's takeover of Uber for weeks and even months.

Grab and Uber was ordered by PCC to keep their separate and independent operations until the antitrust body wraps up its review of the acquisition. 

This means that Uber must continue to operate as a separate entity even after the April 8 original deadline.

The PCC also believes that Uber is capable of operating its ride-hailing app in the country, despite its claims that it has already exited the Southeast Asia market.

In Singapore, PCC's counterpart made a similar move which ordered Uber to operate the app for another week due to anti-competitive concerns.

If Grab and Uber fail to comply, they would need to "show cause" within 24 hours after the end of the five-day period. It could result to 50,000 to PHP 2 million penaty for each violation based on the Philippine Competition Act.

Source: Inquirer