Singapore’s competition watchdog raises concerns over Grab’s proposed takeover of Trans-Cab

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Singapore’s competition watchdog raises concerns over Grab’s proposed takeover of Trans-Cab
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The Competition and Consumer Commission of Singapore said a more detailed review is needed. Read more at straitstimes.com.

There is the potential for Grab's proposed takeover of Trans-Cab to raise barriers to expansion and entry for rival platforms.raise barriers to expansion and entry for rival platforms.

This is despite licensed ride-hailing operators being barred from imposing exclusive arrangements that prevent their drivers from working for rival companies under the point-to-point transport regulatory framework. The companies may also offer commitments to deal with potential competition concerns at any time during this Phase 2 review.

On Monday, a Grab spokeswoman said the company and Trans-Cab are committed to ensuring that the proposed deal benefits commuters and helps raise overall standards in the point-to-point transport industry. Trans-Cab founder and chairman Teo Kiang Ang told ST that he does not think the deal will have much of an effect on competition because his company does not have a majority in the taxi market.Mr Teo said in Mandarin that the schedule of the proposed takeover would definitely drag on because of CCCS’ review.

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