Yao firm pushes bid to become a diversified food, beverage firm

MANILA, Philippines - Macay Holdings Inc., the investment vehicle of Amb. Alfredo Yao, is aiming to become a diversified food and beverage company in the next five years.

The local expansion program will take advantage of the improving consumer spending in the Philippines even as the company ventures into new markets in the Southeast Asian region, company executives said yesterday.

“Our vision is to go into consumer-based products, whether food or non-food. What we intend to do is to maximize our goodwill and the distribution platform we have created through the softdrinks business,” Macay Holdings president Antonio Panajon told reporters.

Panajon said they intend to transform into a diversified consumer goods company through its beverage and food offerings.

“We have moved rapidly to create a new company that will eventually become a leader in the consumer products industry,” said Macay Holdings chairman Yao.

He said the diversification might include the consolidation of homegrown beverage manufacturer Zest-O Corp. into Macay Holdings.

Early this year, Macay Holdings created ARC Refreshments Corp., making it the owner of all assets of RC Cola bottlers Asiawide Refreshments Corp. and Mega Asia Corp. and one of the largest softdrinks manufacturers in the Philippines.

In the short term, Macay Holdings plans to expand its core business through ARC Refreshments, which holds the exclusive license to manufacture and distribute RC Cola, Fruit Soda Orange, Juicy Lemon and Arcy’s Rootbeer.

“We’re looking at expansion as major source of growth. We are going in areas where we are not yet [present] like the Visayas and Mindanao,” said ARC Refreshments chief operating officer Gerardo Garcia.

Garcia said areas where RC Cola is not distributed accounts for 30 percent of the total softdrinks volume in the Philippines.