San Miguel in talks with Filipino food firm
Monday it was in preliminary talks to sell its meat processing unit
Swift Foods to food and beer giant San Miguel.
RFM Corp, the Philippines' second largest food firm, confirmed on Monday it was in preliminary talks to sell its meat processing unit Swift Foods to food and beer giant San Miguel.
"RFM has been in discussion with San Miguel on a possible merger or acquisition opportunity in Swift Foods," RFM president and chief executive officer Jose Concepcion said in a statement.
Concepcion however denied a newspaper report that his family was selling its majority stake in RFM to San Miguel.
"RFM is the one in search of good opportunities for acquisition that will support its growth objectives," Concepcion said.
In an earlier telephone interview with Reuters, San Miguel Vice chairman Ramon Ang said RFM offered to sell Swift Foods to San Miguel two weeks ago.
"We're still looking at it. There's no price yet," he said.
Asked if San Miguel was inclined to take the offer, he said: "We're looking at it. We're checking their financial condition, for instance, their debt situation."
San Miguel said last week it will spend about $1 billion (E1.16bn) for a major acquisition which will be completed in about two to three months, after completing a deal for Japan's Kirin Brewery Co Ltd to take a 15 per cent stake in San Miguel for $540 million.
