Australian grocery group Metcash Trading said it has abandoned plans for a joint venture with Philippines-based grocery distributor Suy Sing Commercial because of “fundamental differences”.

In the proposed joint venture deal, which was announced last October, Metcash was to acquire 65% of Suy Sing for A$73m (US$42.8m).

“Fundamental differences on substantial issues have emerged and remain unresolved. Accordingly, it has been decided to terminate negotiations and withdraw from the acquisition,” Metcash was quoted as saying by Agence France-Presse. The exact nature of the problems remains unclear.