San Miguel scraps plans to sell stake in Pure Foods

According to reports citing sources close to the deal, San Miguel ended discussions because it would only agree to sell up to 49% of Pure Foods while bidders, including a consortium of Century Pacific Group, and the Philippines Campos business family and domestic brand Universal Robina Corp., wanted to buy the 100% stake. "The final bidders had sought 100% ownership ... At this time, our board has decided that all that should be currently under offer by San Miguel is the sale of a minority stake in our Food Group," San Miguel reportedly announced in a statement.

Talks were apparently in their final stages at the time of the announcement, stemming from a process that was a year in the making. In July repors emerged that the Carlyle Group and CVC Capital Partners both sought to participate in the sale, also pushing for 100% of the asset, rather than 49%. That pursuit prompted San Miguel to consider secondary offerings to public markets investors.

Had San Miguel agreed to sell its 100% stake in Pure Foods, a maker of refrigerated meats and grocery products, the deal would have been the biggest food and beverage deal in the Philippines. JP Morgan acted as San Miguel's advisor.

 

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• Topics
• Exits
• Southeast Asia
• CVC Capital Partners
• The Carlyle Group