The Philippine Competition Commission said Wednesday it approved the proposed acquisition of a controlling interest in Air 21 Holdings Inc. by AC Logistics Holdings Corp.
The takeover is the first transaction submitted for voluntary merger review by the parties under the Bayanihan To Recover As One Act period, with the increased threshold of P50 billion.
The PCC said the proposed acquisition would not result in substantial lessening of competition in relevant markets within the logistics sector. It said this is due to substantial competitive constraints exerted by other market players in the sector nationwide.
It also found that customers of the parties’ relevant services are engaged with multiple service providers, attesting to healthy competition in the industry in terms of price and service quality.
The PCC mergers and acquisitions office said the merging parties would not result in dominant market position, given the resulting market shares in the relevant markets.