The Vietnamese Trade and Industry Ministry announced its investigation has found evidence that Grab’s acquisition of competitor Uber violated Vietnam’s Competition Law.
The investigation, carried out by the Ministry’s Competition and Consumer Protection Department, found that the two ride-hailing firms had failed to report their merger to competition authorities as needed.
They merger they carried out was also not allowed by Vietnamese law, the Ministry stated Wednesday, December 12.
The 2004 Competition Law requires any merger or acquisition that results in a company gaining a 30% market share to be reported to competition authorities.
If a company gains a 50% market share from the deal, it can only be implemented with express permission from the authorities.
The department’s preliminary investigation has found Grab’s market share in Vietnam exceeded 50% since Uber quit the market last April.
Full Content: VN Express