The Philippine Competition Commission (PCC) cleared the proposed acquisition by Engelmann Capital Pty Ltd (Engelmann) of shares in Cloudstaff Holdings Pty Limited (Cloudstaff) on February 12, ahead of the end of the Phase 1 review.
In its assessment, the PCC’s Review Team found that both Engelmann and Cloudstaff, together with their respective notifying groups, have investments spanning different industries in the country. Engelmann and its group hold a diversified portfolio across multiple sectors, while Cloudstaff and its group maintain their core business in the provision of business process outsourcing services.
The Review Team further determined that the parties neither compete in the same market, known as a horizontal overlap, nor operate in a supplier-customer relationship, known as a vertical relationship. Absent any horizontal overlap or vertical relationship, the transaction does not affect market structure or competitive dynamics.
This clearance underscores the PCC’s mandate to ensure that mergers and acquisitions promote investment and growth without harming competition.
