In a disclosure to the Australian Stock Exchange, SMC said this would facilitate the completion of the food and beverage giant’s acquisition of National Foods within the month.
SMC president Ramon Ang said the addition of National Foods to the group’s existing Australian units – brewer J. Boag & Son and fruit juice maker Berri - creates a "powerful food and beverage platform" for SMC in the Australian and Asian market.
National Foods managing director Peter Margin said that SMC’s Asian operations will provide the group with benefits in pursuing opportunities in Southeast Asia and China.
SMC’s acquisition of National Foods will give the Philippine brewer a third of Australia’s A$3.5-billion dairy industry.
National Foods owns top-selling Australian consumer brands such as Pura fresh milk, King Island cheeses, Yoplait yoghurts and Fruchee dairy desserts.
SMC is widely expected to benefit from the deal as the transaction will put the company to the list of the leading food and beverage companies of the world.
SMC has a long-term strategy of growing its beverages and food businesses in selected countries in the Asia-Pacific region. It generally prefers to acquire businesses with a strong local management team and empower it to grow the business locally and expand organically utilizing the San Miguel Group’s knowledge of key Asian markets.
Upon acquisition of control of National Foods, SMC will undertake a comprehensive review of the Australian dairy company’s financial performance, long-term plans, activities, assets and market position with a view to identifying opportunities for revenue growth and other benefits and assessing its financial position.
The conglomerate said its purchase of National Foods would increase its exposure to the Australian dairy goods market. It already owns a number of assets in Australia, including the Berri fruit juice operations, and brewer James Boag and Son.
In the past year SMC has bought a Thai brewery, drinks and hog farm assets in Vietnam, and expanded into Singapore coffee and ice-cream businesses.