San Miguel to buy stake in BMW supplier in PH
MANILA, Philippines – San Miguel Corporation (SMC), a diversified conglomerate led by businessman Ramon Ang, is in discussions with Asian Carmakers Corporation, the official importer and distributor of BMW in the Philippines, for a "majority stake" acquisition.
Ang, SMC president and chief operating officer, confirmed to the local bourse on Thursday, July 6, that he was invited by Palawan Governor Jose Alvarez, also a businessman, to acquire a majority stake in Asian Carmakers.
"We confirm that San Miguel Corporation is in talks with [Alvarez] and Asian Carmakers Corporation for an investment by the company, as advised by Mr Ramon S. Ang," San Miguel told the Philippine Stock Exchange (PSE).
Ang, a known car enthusiast, confirmed the agreement is scheduled to be finalized in July.
The BMW Group appointed Asian Carmakers as both importer and service provider of BMW cars in the country in 1993. Alvarez obtained control of Asian Carmakers from the BMW Group on February 1, 2009, based on data from the Chamber of Automotive Manufacturers of the Philippines Incorporated (CAMPI).
Asian Carmakers is a wholly owned Filipino company under the Alvarez Group of Companies. Alvarez also serves as the chairman of Columbian Autocar Corporation, the assembler and distributor of Kia vehicles in the Philippines.
The company boasts the widest dealership network in the luxury vehicle segment – with 8 dealers under the Asian Carmakers helm: Autoallee BMW in Eton Centris (EDSA), Autohaus BMW in Quezon City, Autozentrum BMW in Alabang, Prestige Cars in Makati, Premier Cars BMW in Pampanga, Autobahn BMW in Bacolod, Autowelt BMW in Cebu, and Premium Motoren BMW in Cagayan de Oro.
Meanwhile, San Miguel has business interests in brewery, food, packaging, oil, power, and infrastructure.
By end-2017, San Miguel is set to break ground on its single biggest investment in the Philippines so far, a new petrochemical facility worth $15 billion (P745.46 billion) to $20 billion (P993.95 billion) in the south of Manila.
The diversified conglomerate saw its net income in 2016 surge by 80% to P52 billion from P28.9 billion in 2015, as most of its units delivered strong growth. – Rappler.com