:. Food Industry News

Categories: Mergers and Acquisitions

Kirin Seeks 43 pct Stake in San Miguel Beer Unit

Source: Reuters
19/01/2009

Tokyo, Jan 19 - Japan's second-largest brewery Kirin Holdings Co Ltd said on Monday it had gained exclusive rights to negotiate with San Miguel Corp for a stake in the Philippine conglomerate's beer unit, a deal estimated to cost at least $1.26 billion.

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Kirin said it aims to acquire 43.3 percent in San Miguel Brewery Inc from its parent and plans to reach a final agreement by the end of February.

Kirin said terms of the deal have yet to be worked out, but San Miguel Brewery shares listed on the Philipine stock exchange were traded at 8.8 Philippine pesos, valuing the stake at least about 59 billion Philippine pesos ($1.26 billion).

Kirin, which holds a fifth of San Miguel Corp, has said it is interested in taking a stake in San Miguel Brewery. The Philippine group has been diversifying its operations into industries like mining, power and infrastructure.

The Japanese firm bought San Miguel's Australian dairy and juice manufacturer National Foods for $2.6 billion in 2007. ($1=46.99 Philippine Peso)



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