Angkas rectifies foreign ownership issue

Motorcycle taxi pioneer Angkas said Wednesday it has already rectified the foreign ownership issue of its operator DBDOYC Inc. that was raised by the inter-agency Technical Working Group (TWG) heading the Motorcycle Taxi Service Pilot Implementation Run.

"We have made the necessary steps to correct this," Angkas chief transport advocate George Royeca said in a press conference in Makati City.

The Angkas official disclosed that he already owns 60% of the company.

"I'm here before you saying on record that I own 60%,” Royeca said.

Citing documents from the Securities and Exchange Commission (SEC), the TWG said DBDOYC is currently majority foreign-owned, with over 99% under Singaporean Angeline Xiwen Tham. 

"(I)n a blatant display of defiance and arrogance, note how Angkas or DBDOYC did not disclose to the riding public that it is a 99% foreign-owned corporation, and is operating contrary to existing Philippine laws that common carriers should be at least 60% owned by Filipinos," the TWG said.

Under Philippine laws, foreigners are allowed to own up to 40% of businesses related to public services, with domestic entities owning 60%.

Royeca, who owns 60% of the firm, said the remaining 40% is held by five individuals, including Tham.

According to its Articles of Incorporation filed with the SEC, Angkas positioned itself as a company that provides software applications as its primary purpose.

"To make available software applications that allow users to immediately avail of the services of independent third-party service providers through mobile devices, without itself operating as a public utility or as internet service provider, and any activities necessary, incidental or related to such business, including marketing and consulting support, except advertising, mass media, or other services that require the Corporation to secure a license from the National Telecommunications Commission," its primary purpose read.

The company had an authorized capital stock of P9.820 million, divided into 980,280 shares with par value of P100 apiece.

Tham, president of DBDOYC, has subscribed to majority or 98,204 of the shares, leaving only four shares left — one each for David Braian Medrana, Andrea Gutierrez-Besid, Marian Geronimo, and Melvin Villa.

Angkas and the TWG have been at odds, following the decision of the government to place a cap at the number of riders allowed in the pilot study.

Royeca said that the ownership issues was not part of the pilot guidelines.

Nevertheless, he said the company has already addressed the issue and the reflection of changes may take time.

The six-month study originally covered only DBDOYC Inc. that operates Angkas, and was originally scheduled to end on December 26, 2019. It was extended until March 23, 2020 and provided for the inclusion of two new players — JoyRide, and Move It.

However, the TWG allotted a cap of 39,000 registered bikers — 10,000 bikers per transport network company (TNC) for Metro Manila, and 3,000 per TNC for Metro Cebu operations.

Angkas, which had 27,000 riders on its platform prior to the cap, would then have to share slots with both JoyRide and Move It. --KBK, GMA News