The Philippines: San Miguel Corp. expects growth from non-allied industries

Philippines’ San Miguel Corporation (SMC) said on June, 1 its strategy of diversifying into non-allied industries will help secure its future and spur economic growth.

SMC, which reported 2009 net sales of P174.2 billion, up 4% from the previous year; operating income of P19.7 billion, up 33%, and net income of P57.8 billion, a 199% improvement, is transforming into a powerhouse conglomerate with interests in essential industries as power, oil, telecommunications, infrastructure, banking, and mining.

San Miguel sold a 43.25 percent stake in San Miguel Brewery Inc. to Kirin Holdings Ltd. last year, raising 58.9 billion pesos. Kirin later increased its holding in the largest Philippine brewer to 48 percent through a tender offer.

San Miguel opened its brewery in 1890, eight years before the Philippines declared independence from Spain.

SMC president Ramon Ang has earlier said the group will keep its 51 percent stake in flagship San Miguel Brewery.

02 June, 2010