Uber After the merger agreement was deemed a violation of Singapore's anti-competition law, a total of $ 9.5 million was fined.
The Singapore Competition Commission purchased (merged / closed) Uber's Southeast Asian business in March but said the contract was "anti-competitive" as a result of multiple investigations on the impact on Singapore.
CCCS imposed a fine of $ 6,582,055 ($ 4.8 million) on Uber and fined $ 6,419,647 ($ 4.7 million). But it does not solve the problem which was optional. This fine only applies to companies in Singapore, one of the eight markets where Uber and Grab were competing. Grab raised $ 6 billion from investors, so there should be no problem with repayment.
Mainly, after the transaction, the price of Grab rose 10 to 15%, but the market share of CCCS increased to 80%. Nevertheless, according to Gul Co-Founder Hollin Tan, there are still many competitions in Southeast Asia.
As a result of the investigation, the CCCS discovered that this transaction is anticompetitive and implemented, violating Article 54 of the Competition Law by significantly reducing market competition.
A grab of over $ 11 billion is an all-in-one "super application" and there is no need to legally notify CCCS of a contract with Uber. However, the committee has warned to consider contacting companies when the agreement on the issue exceeds 40% of the market share or the cumulative market share of the three large companies after the merger is over 70%. Grab only contacted the CCCS after the announcement of the contract.
It should be noted that the Philippines, the only other country in Southeast Asia that began investigating this agreement, approved an unaffected merger last month.
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