GBPC-Alsons deal cleared
The Philippine Competition Commission approved the acquisition of shares by Global Business Power Corp. in Alsons Thermal Energy Corp.
GBPC, a leading power generation company operating in the Visayas and Mindoro, will acquire 50 percent minus one share of the total voting and total outstanding capital stock in Alsons Thermal Energy from Alsons Consolidated Resources Inc.
ACR is a publicly-listed company of the Alcantara Group with subsidiaries engaged in power generation, property development, industrial estate management and other investments.
The PCC said in decision on Sept. 25, 2017 that its Mergers and Acquisitions Office found that the transaction would not result in substantial lessening of competition in the power generation market.
“The merged firm does not have the ability or incentive to engage in foreclosure after the acquisition,” the PCC said.
“There is also sufficient competitive constraints from competitors in the said market,” it said.
PCC, the country’s anti-trust body, is mandated under the Philippine Competition Act to review mergers and acquisitions to ensure that these deals will not harm the interest of consumers.