TAIPEI (TVBS News) — A financial expert stated on Tuesday (Dec. 10) that the Fair Trade Commission's (FTC, 公平會) decision to extend the review of Uber Eats' acquisition of foodpanda by 60 days was due to the high market share of both platforms. The FTC extended the review of Uber Eats' NT$30.8 billion acquisition of foodpanda by 60 days on Monday, citing the need for a comprehensive evaluation. A decision is expected no later than March 21, 2025.
Luo Bing-Kuan (駱秉寬), vice chairman of the Taiwan Mergers & Acquisitions and Private Equity Council (MAPECT, 台灣併購與私募股權協會), analyzed that the merger is not highly difficult, but the platforms' market share is too high, making the scope of consideration for the commission too broad. Luo warned that an immediate rejection could be perceived as Taiwan's resistance to mergers, potentially affecting future foreign investments. He emphasized the necessity for the commission to gather diverse opinions, including those from suppliers, delivery personnel, and impartial experts.
Luo noted that the commission primarily focuses on whether the overall economic benefits outweigh the restrictions on competition for approval. Despite concerns about potential monopoly issues, he acknowledged that approval could be an option if the commission identifies "conditions" that "limit competitive interests."
