PCC conducts deeper review of GCash parent’s acquisition of ECPay

November 23, 2024 | 12:00am

MANILA, Philippines — The Philippine Competition Commission (PCC) is conducting a deeper probe on the proposed acquisition of electronic payment platform Electronic Commerce Payments Inc. (ECPay) by the parent firm of mobile wallet GCash.

The PCC said it has started the in-depth or Phase 2 review of the proposed acquisition by Globe Fintech Innovations Inc. (Mynt) of 100 percent of ECPay’s issued and outstanding shares.

Mynt and ECPay notified the PCC of their proposed transaction on April 23.

A Phase 2 review of the proposed transaction is being conducted after the PCC Mergers and Acquisitions Office (MAO) found potential competition concerns in key markets including payment services, aggregator services and merchant solutions during the Phase 1 review.

“These concerns involve potential impacts on competition in retail and digital payment channels, such as sari-sari stores, retail outlets and online payment systems,” the PCC said.

The PCC issued a request for information to the parties last Sept.18, while the Phase 2 review officially commenced on Sept. 19.

Through the Phase 2 review, the PCC aims to have a more detailed assessment to determine whether the transaction could substantially reduce market competition.

As part of the ongoing Phase 2 review, the PCC is seeking comments from stakeholders and the general public on the transaction’s potential effect on competition, as well as quality or availability of services in the relevant markets.

Interested parties may submit their comments until Dec.8, by sending an email to [email protected] with the subject title “Comments on Mynt and ECPay.”

Comments may also be sent through mail to the PCC’s office at Vertis North Corporate Center Tower 1 in Quezon City or online through the comment form available at: bit.ly/CFC-Mynt-ECPay

The PCC is encouraging the public to participate in the review process as their feedback is considered vital in determining the potential effects of the acquisition on market competition and consumer welfare.