Competition Commission of Singapore not yet notified of Grab-Uber merger: reports
The Competition Commission of Singapore (CCS) has yet to receive official notification of the planned merger between ride-hailing app Grab and Uber’s South-east Asian arm.
According to media reports, a CCS spokesman noted that Grab and Uber had stated that they would file a notification of the transaction to Singapore’s competition authority. However, the CCS has yet to receive the notification and will write to the two companies for clarification.
The ride-hailing giants announced the merger on Monday (26 March), ending weeks of speculation over the possible closing of the deal – which sees Uber taking a 27.5 per cent stake in Grab along with a seat on the latter’s board. Singapore’s competition law prohibits mergers “that may be expected to result in a substantial lessening of competition”, said the CCS spokesman.
Should the tie-up be found to negatively affect the level of competition here, the CCS may take steps to remedy the situation – such as by requiring the merger to be modified or even unwound. “CCS may also consider issuing interim measures prior to the final determination of the merger,” the spokesman noted.
Similarly, the Land Transport Authority (LTA) said it is watching the merger closely to ensure that “no one single market player dominates the sector to the detriment of commuters and drivers”.
A Grab spokesman said that the company would make a merger notification to the CCS and that the LTA has also been informed of the deal.
Meanwhile, taxi operator ComfortDelGro (CDG) said it is now reviewing “all aspects” of its proposed tie-up with Uber. CDG’s bid to take a 51 per cent stake in Uber’s car rental subsidiary, Lion City Holdings, remains under review by the CCS.
Related stories:
Uber selling Southeast Asian business to regional rival Grab
Uber partners with taxi firm ComfortDelGro for new Singapore service
