Grab to ask antitrust body to reconsider penalty
MANILA, Philippines — Grab Philippines on Friday said it will ask the country’s competition watchdog to reconsider its penalty on the ride-hailing firm for allegedly rushing its merger with Uber Technologies that resulted into a decline of service quality.
Early this year, Uber sold its Southeast Asia operations to its rival Grab, prompting antitrust agencies in the region to examine the domestic implications of the tie-up.
The Philippine Competition Commission last August cleared the Grab-Uber acquisition but subject to certain conditions to address anti-competitive concerns.
Last week, the PCC penalized Grab and Uber for violating the pledges, including consummating their integration during the regulators’ review of the deal.
In a statement, Grab said it disagrees with the PCC’s decision slapping a P12-million fine on the company, saying it did not breach any of its commitments.
“Grab completed the transaction legally, and did not violate the interim measures order,” the company said.
“PCC, despite Grab’s filing of motion for reconsideration, can be assured that Grab will abide by and remain faithful to its voluntary commitments. We have been closely coordination with both the PCC and monitoring trustee to ensure that high service standards met,” it added.
Based on the PCC’s estimate, Grab could take 93 percent of the Philippines’ ride-sharing market if its takeover of Uber’s businesses is completed. — Ian Nicolas Cigaral
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