Philippines: San Miguel Corp., the Philippines' largest food and beverage conglomerate, said on June 1 it has received the green light from the Thai government to produce beer in Thailand. "This is the first step in San Miguel's entry into the highly attractive Thai beer market," the company said in a statement. The approval was given by Thailand's Ministry of Finance.

Just two months ago, San Miguel signed a deal to acquire the beer division of Thai Amarit Brewery Ltd. The acquisition, valued at $102 million, is aimed at accelerating San Miguel's entry into Thailand's beer market. The transaction is expected to be closed in the next two to three weeks, San Miguel said on June 1.

Thai Amarit's beer division includes a modern and fully equipped beer brewery on a 21.75 hectare site in Pathum Thani province in central Thailand. The brewery, which uses European technology, has a capacity of one million hectoliters. One hectoliter is equivalent to 100 liters.

In March, San Miguel broke ground on an industrial estate in Rayong, Thailand. The complex will handle the manufacturing and distribution of all San Miguel product lines in Thailand. San Miguel has set aside $700 million for its overseas expansion plans, and has so far spent or earmarked around $300 million for investments in Thailand, China and Vietnam.

01 June, 2004