The Philippine Competition Commission (PCC) has raised the minimum transaction value for mergers and acquisitions (M&As) that require notification.
In a statement Wednesday, PCC said the thresholds for M&A deals increased to PHP8.5 billion for the size of party (SOP) and PHP3.5 billion for the size of transaction (SOT).
SOP reflects the total value of assets held by a party’s parent company, while SOT accounts for the value of the acquired firm and its controlled entities.
The higher threshold for mandatory notification took effect last month.
“The thresholds for compulsory notification are adjusted annually based on the previous year’s nominal gross domestic product (GDP) growth,” PCC said.
The antitrust body added that this is the eighth adjustment to the threshold, which baseline was set at PHP1 billion since the Philippine Competition Act was enacted a decade ago.
In 2024, the SOP threshold was set at PHP7.8 billion while SOT was at PHP3.2 billion.
“As the Philippines’ antitrust authority, the PCC reviews M&As to prevent deals that could substantially lessen competition in the relevant market,” it said.
“Even if a transaction falls below the notification thresholds, the PCC may still initiate a review motu proprio, or on its own initiative, if it has reasonable grounds to suspect that the transaction could significantly harm competition, or preliminary findings suggest it already has,” it added.
To date, PCC has received 328 transactions with an aggregate value of PHP6.27 trillion, the majority of which are in the sectors of manufacturing (57), financial and insurance (53), real estate (47), electricity and gas (45), and transportation and storage (32). (PNA)
