August 24, 2018
SEC-OGC OPINION NO. 14-18
RE: RETAIL TRADE
Tokyo Consulting Firm-Philippine Branch
Unit 14B Chatham House, Valero cor. Rufino Sts.,
Salcedo Village, Makati City, 1227
Attention: Kenta Tanabe
General Manager
Dear Sir :
This refers to your letter dated 14 February 2017 requesting for an opinion regarding a possible joint venture between a foreign corporation and a Filipino company investing in a restaurant business in the Philippines.
In your letter, you stated that Ringer Hut Co., Ltd. ("Ringer Hut") is a corporation duly organized and existing under the laws of Japan, and is engaged mainly in restaurant businesses in the said country. You further stated that Ringer Hut intends to do business in the Philippines by entering into a joint venture agreement with Filipino individuals and companies wherein Ringer Hut owns 40% interest, and the rest of the shares (60%) are owned by Filipinos.
Hence, you raised these several queries:
1. Whether a 40% foreign-60% Filipino company may invest in a restaurant business legally?
2. Whether a 40% foreign-60% Filipino company is considered a Filipino company, hence, is not required to comply with the USD2,500,000...
