PHILIPPINES: SMC looking to make $600m in asset sale

By just-drinks.com editorial team | 21 September 2009

Philippines-based food and drinks group San Miguel Corp. (SMC) is planning a $600m asset sale to fund ventures beyond its traditional sectors.

The company also disclosed to the Philippines Stock Exchange that it is negotiating with banks to tap a $600m three-year loan facility also to fund diversification.

An SMC spokesperson was quoted in local press as saying that the sale of a portion of its stakes in San Miguel Pure Foods and Ginebra San Miguel, as well as in its packaging and international beer operations may generate up to $600m.

SMC has recently invested in toll road and power businesses and is looking for further new investments, possibly in mining.

The company is reported to be negotiating with a number of international companies concerning a strategic investment in its spirits arm, Ginebra San Miguel, which currently has a market capitalisation of $100m.