San Miguel Corp has confirmed that it is seeking to sell a stake in its spirits arm, Ginebra San Miguel, in order to raise funds for acquisitions in other industries.

San Miguel Corp (SMC) confirmed media reports that it intends to sell a portion of Ginebra, as well as its food and packaging businesses. Asset sales could hit US$1bn, the Philippines-based group said.

San Miguel Brewery, which is 48%-owned by Kirin Holdings but still controlled by SMC, is considered a likely buyer of a stake in Ginebra San Miguel.

The spirits division posted volume sales growth of 15% for the six months to the end of June last year. Operating profits for the half-year leapt to PHP617m (US$13.5m), from PHP426m in the same period a year earlier.
Last week, SMC also signalled that was willing to sell its remaining stake in San Miguel Brewery.

However, the firm later confirmed that it has ruled out selling more of San Miguel Brewery to Kirin.