PCC Guidelines on Notification of Joint Ventures
The Mergers and Acquisitions Office (MAO) of the Philippine Competition Commission (PCC) has issued the Guidelines on Notification of Joint Ventures in order to offer clarification and explanation with regard to (i) joint ventures; and (ii) the application of the thresholds under the Implementing Rules and Regulations to joint ventures.
Joint ventures and other similar kinds of collaborative agreements are used to conduct business projects to generate economic benefits through pooling of assets, skills and resources. The benefits include streamlined processes, eliminated redundancies and cost savings to market players.
The PCC recognizes that joint ventures can result in business efficiencies but the Commission is also mindful that such agreements may pose competition concerns when they may result in a substantial lessening of competition (SLC) in the relevant market.
The Commission will consider each joint venture with due regard to the attendant circumstances, including the information available and the time constraints, and will apply these guidelines flexibly, or where appropriate, deviate therefrom.