PCC Case No. M-2018-001 (MAO Case No.

M-2018-012)

In the Matter of the Acquisition by Grab Holdings, Inc. and MyTaxi.PH, Inc. of Assets of
Uber B.V. and Uber Systems, Inc.

Grab Holdings, Inc., MyTaxi.PH, Inc., Uber B.V. and Uber Systems, Inc.

Facts:

March 2018 respondents were reported to enter into a Bill of Sale and Assignment and
Assumption Agreement dated March 5, 2018 which provided MTPH’s acquisition of USI’s
Philippine-based assets. Both parties operate as Transport Network Companies.

GHI is a holding company incorporated in the Cayman Islands while MTPH is a corporation
organized and existing in the Philippines. UBV, a holding company organized and existing under
the laws of Netherlands, wholly owns USI, a Philippine corporation.

PCA grants Commission to impose interim powers which it exercises over the transaction. The
commission has the power to prohibit merger and acquisition. It also has powers to impose
structural remedies such as adjustment orders and divestiture orders. Grab and Uber argues
that they do not share informations (coding and the likes).

Issue: 1. WON the interim orders are harsh and disproportionate.

2. WON the transaction will lessen competition.

Held:

1. The interim measures are intended for the benefit of Respondents and the public. It also
ensures the protection of the riding public.

The commission’s issuance is an exercise of its mandate to protect competition and

consumer welfare.

Third parties are not included in the interim measures.

Rule 10.2 of the Merger Procedure-2 ways to issue interim measures:

a. Motu proprio by the commission
b. By application of MAO or a merger party

2. PCC finds that USI charged lower price than MTPH. Based on reports, the public is
alarmed at the possible merged firm will be a virtual monopoly in the TNC market.

While it is Uber’s prerogative to unilaterally leave the SEA market, the transaction is
subject to the regulatory power of the Commission.
Although entry barriers are likely low, entry of potential competitors may not be timely
and sufficient to pose constraint to the merged firm.