Philippines-based cold chain solutions provider Mets Logistics can now expand its reach further in the country after the Philippine Competition Commission approved its joint venture with Singapore-based holding entity, Canopy Investments Pte. Ltd. (Canopy).

The approval came after the PCC found the joint venture would not result in a substantial lessening of competition in the relevant markets.

According to the PCC, the partnership, entered into by Canopy, Mets Logistics Inc., Mets En Co Inc. (Mets En Co), Einstee Realty Inc., Marssha Realty Development and Trading Corporation, Magnificent Trio Properties Inc., and Mets Cold Storage Systems Inc., is expected to expand Mets Logistics’ cold storage capacity in the Philippines.

Canopy, a Singapore-based holding company, will enter as a new financial partner through its subscription of new shares in Mets Cold Storage.

The PCC further stated that it reviewed three potentially affected markets: dry storage and warehousing services, land leasing for commercial and industrial use and office leasing services.

“Following its assessment, the Commission 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,” the PCC said.

Mets Logistics operates cold chain facilities across the country, while Mets En Co serves as its parent company.

On the other hand, the property companies — namely, Einstee Realty, Marssha Realty and Magnificent Properties — are family-owned entities engaged in commercial storage property management.

The PCC said that before Canopy’s investment, an internal restructuring would 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, it said.

“The approval of the joint venture is expected to enhance cold storage capacity, thereby strengthening competition in the Philippine cold chain sector,” the PCC noted.