SMC to expand Vietnam venture; eyes brewery in Cambodia

MANILA, Philippines -- San Miguel Corp., Southeast Asia's largest publicly-listed food, beverage and packaging group, said Friday it was looking to expand its beer operations in Vietnam and is also studying the feasibility of putting up a brewery in Cambodia.

"The company confirms that it intends to expand its presence in the Vietnam market and that it is studying the feasibility of putting up a brewery in Cambodia," San Miguel said in a brief statement to Manila's stock exchange.

The company was asked to comment on local media reports Friday saying it would allot up to $8 million to expand the capacity of its Vietnam plant.

San Miguel beer division assistant vice president Benjamin Aton Jr. was also quoted as saying that a brewery in Cambodia might cost $16 million.

San Miguel did not give any financial details in its disclosure to the exchange.

The company will spin off its domestic beer business under San Miguel Brewery Inc. for an initial public offering possibly before the year ends.

San Miguel, which is 20 percent owned by Kirin Holdings of Japan, also plans to venture into other businesses such as power generation and transmission, water and other utilities, mining and infrastructure.

At 10:09 a.m., San Miguel's A-shares were down 50 centavos or 0.8 percent at P61.50. Its B-shares also fell 50 centavos or 0.8 percent to P63.00. -- Enrico dela Cruz