PCC approves logistics, airport management deals

By Kris Crismundo

August 20, 2020, 5:30 pm

MANILA – The Philippine Competition Commission (PCC) has given the green light to Asia Seal Pte. Limited and FastCargo Logistics Corporation to pursue their joint venture deal, as well as the share acquisition of Aéroports de Paris SA (AdP) in GMR Airports Limited.
 
“The Philippine Competition Commission has cleared two transactions relating to logistics and airport management, seeing that the deals will unlikely lead to a substantial lessening of competition in their respective relevant markets,” the anti-trust body said in a statement Thursday.
 
In its decision last August 13, it approved the joint venture deal between Asia Seal and FastCargo as it “will not likely result in substantial lessening of competition in the market for the distribution of fast-moving consumer goods to retailers nationwide”.
 
Asia Seal is owned by investment fund firm CVC Capital Partners Asia Pacific IV L.P.
 
On the other hand, FastCargo is in the business of cargo loading, forwarding and warehousing services.
 
Meanwhile, PCC approved on Tuesday the acquisition by AdP of 49 percent shares in GMR.
 
French airport developer AdP has no active presence in the Philippines, while the Indian airport operator GMR has partnership with Megawide Construction Corporation in developing and operating the Mactan-Cebu International Airport.
 
“The markets of the award of airport operation and management concession, and provision of technical services are likely global in scope with enough market players to pose competitive restraint on the merged entity,” PCC said.
 
Under the law, the PCC reviews merger and acquisition (M&A) deals of firms with transaction threshold of PHP6 billion for the Size of the Person, and to PHP2.4 billion for the Size of Transaction.
 
To date, PCC has received 216 notifications of domestic and global M&A deals with an aggregate value of PHP3.8 trillion. (PNA)
 
 
 

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