In the Philippines, Grab’s acquisition of Uber’s operations is moving forward with approval from the country’s governing body for competition. The Philippine Competition Commission (PCC) approved the deal, assuming that the firm adheres to certain rules designed to keep the market fair for consumers, Reuters reported.
“While Grab operates as a virtual monopolist, the commitments assure the public that quality and price levels that would prevail are those that had been when they still faced competition from Uber,” said PCC Chairman Arsenio Balisacan.
The “commitments” involve acceptance rates for rides, response times to complaints and transparency for fares. If Grab were to breach such conditions, the company could receive fines topping two million pesos (or $37,624). Overall, Grab’s share of the market for ride-hailing services in the Philippines has skyrocketed from 45 percent – at the time that Uber was active – to 93 percent today.
The news comes as Grab has just raised an additional $1 billion from a handful of financial firms, bringing its total with the round to $2 billion. In a press release, Grab said OppenheimerFunds, Ping An Capital, Mirae Asset-Naver Asia Growth Fund, Cinda Sino-Rock Investment Management Company, All-Stars Investment, Vulcan Capital, Lightspeed Venture Partners, Macquarie Capital and other investors joined Toyota Motor in investing in the company.
“We are honored to welcome these top-tier financial institutions into our roster of strategic investors and partners,” Grab President Ming Maa said in a press release. “We have seen overwhelming interest from global strategic investors and partners who are keen to partner with us to capture the region’s booming growth.”
The company said it will use the funding to expand its service and to become the “everyday super app of choice for millions in the region.” Grab said in the press release it is looking to broaden its service offerings via partnerships. Recently, the company announced the launch of GrabFresh, an on-demand grocery delivery service in Jakarta.