The announcement marks the continuation of the conglomerate’s aggressive expansion strategy, which it began in 2008.
On Wednesday, senior executives from Philippines’ San Miguel Corp stated, the conglomerate plans to invest at least $1 billion (£764.18 million) within the next two years in order to build 10 breweries inside and outside of the country.
The announcement from the maker of San Miguel Pale Pilsen and Red Horse beer underscores strong consumer demand in Philippines, one of Asia’s fastest growing economies, said Ramon Ang, San Miguel’s President.
He went on to add, the conglomerate plans on building its first production facility in the U.S. and in Vietnam.
San Miguel Corp is Philippines’ biggest brewer and its brewery business and Japan’s Kirin Holdings Co Ltd has a stake in it.
According to San Miguel’s Chief Finance Officer (CFO) Ferdinand Constantino, each new brewery would have an annual capacity of 1-2 million hectoliters and would cost at the minimum $100 million.
Since 2008, the conglomerate has pursued an aggressive expansion strategy aimed at bolstering its revenues; since then it has added petroleum, infrastructure, power and mining assets to its core food and beverage businesses.
According to sources, San Miguel is on track to sell up to $3 billion worth of shares in its food unit in the fourth quarter despite recent market volatility.