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The Philippine Competition Commission has approved a joint venture comprising a group of cold storage and real estate companies and a Singapore-backed holding entity
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The PCC determined the transaction will not result in a substantial lessening of competition in the relevant markets
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The partnership, entered into by Canopy Investments Pte. Ltd., Mets Logistics, Inc., Mets En Co Inc., Einstee Realty, Inc., Marssha Realty Development and Trading Corp., Magnificent Trio Properties, Inc., and Mets Cold Storage Systems Inc., is expected to expand Mets Logistics’ cold storage capacity in the Philippines
The Philippine Competition Commission (PCC) has approved a joint venture comprising a group of cold storage and real estate companies and a Singapore-backed holding entity.
PCC determined the transaction will not result in a substantial lessening of competition in the relevant markets.
The partnership, entered into by Canopy Investments Pte. Ltd., Mets Logistics, Inc., Mets En Co Inc., Einstee Realty, Inc., Marssha Realty Development and Trading Corp., Magnificent Trio Properties, Inc., and Mets Cold Storage Systems Inc., is expected to expand Mets Logistics’ cold storage capacity in the Philippines, PCC said in a statement.
Canopy, a Singapore-based holding company, will enter as a new financial partner through its subscription to new shares in Mets Cold Storage.
Following its assessment of the three potentially affected markets—dry storage and warehousing services, land leasing for commercial and industrial use, and office leasing services— PCC said it found no competition concerns in the joint venture since there will be no overlap in any of the services offered by the companies involved and the reorganization merely involves intra-group transfers.
Mets Logistics operates cold chain facilities across the country, while Mets En Co serves as its parent company. The property companies—namely Einstee Realty, Marssha Realty, and Magnificent Properties—are family-owned entities engaged in commercial storage property management.
Prior to Canopy’s investment, PCC said an internal restructuring will be undertaken to transfer Mets Logistics’ cold storage and logistics businesses to Mets Cold Storage. The property companies will also transfer land and cold storage facilities dedicated to these operations, while retaining ownership of other properties.
PCC said the approval of the joint venture is expected to enhance cold storage capacity, thereby strengthening competition in the Philippine cold chain sector.
READ: DA plans to build 202 cold storage facilities nationwide
