By Denise A. Valdez
GRAB PHILIPPINES (MyTaxi.PH, Inc.) said it is inching closer to settling its voluntary commitments to the Philippine Competition Commission (PCC) to address anti-competition issues flagged by the government regarding its acquisition of Uber Philippines in March.
“Negotiations with PCC are still ongoing. We met with PCC last Monday, July 30, and we are close to finalizing the Voluntary Commitments (VC),” Grab public affairs head Leo Emmanuel K. Gonzales said in a statement on Wednesday.
He added that the PCC has extended the period to review the commitments to Aug. 10 upon Grab’s request. Results were originally scheduled to be released end-July.
In a message to BusinessWorld, the PCC confirmed it has granted Grab’s request to extend the validity period of its voluntary commitments.
But it also noted, “In the event that PCC finds the proposed commitments unacceptable or insufficient in addressing our Statement of Concerns (SOC), the Commission will revert back to the Review Track. To this end, PCC is mindful of its mandate and hopes the outcome will benefit the riding public.”
Grab country head Brian P. Cu told reporters in mid July the company could not reveal its exact commitments, but noted “it has something to do with driver behavior, it has something to do with driver incentives, it has something to do with pricing, it has something to do with exclusivity of drivers.”
He added that the PCC’s initial feedback on the commitments was constructive. “They’re welcoming our remedies. They’re just clarifying some of them,” he said.
The ride-hailing company said in June it submitted the proposed commitments to PCC on May 30, which were set to be reviewed by the antitrust body for not longer than 60 days. This is the same process followed for other deals that went through questioning by the government for their supposed anti-competition effects, such as when SM Retail, Inc. proposed to acquire Goldilocks Bakeshop, Inc.
The submission of the voluntary commitments has put on hold PCC’s review of the Grab-Uber merger. After its assessment, the PCC will decide how to move forward with its verdict on the deal.
