Ginebra acquires Magnolia brands

MANILA, Philippines - Cojuangco-led Ginebra San Miguel, Inc. is buying San Miguel Beverages, Inc. as part of its plan to enter the nonalcoholic drink market. In a disclosure Tuesday, Ginebra said it’s board had approved a plan to acquire San Miguel Beverages, San Miguel Corp.’s (SMC) nonalcoholic beverage business that makes brands like Magnolia Health Tea, Magnolia Juice Drinks and Magnolia Pure Water. "The acquisition will create for Ginebra a total beverage company, further extending the company’s operations beyond the mature liquor and spirits market and into faster-growing areas of the nonalcoholic beverage business," it told the exchange. Ginebra is a majority-owned unit of San Miguel Corp. that manufactures and sells alcoholic beverages. The company also sells mineral water brands VIVA!, First and Aquapeak. Ginebra earlier acquired SMC Juice, Inc., maker of Magnolia Fruit Drinks, Zip, FunChum and powdered Fresh ’N Ripe, and Metro Bottled Water Corp., the maker of the Wilkins brand of distilled water. On Tuesday, Ginebra shares were unchanged at P19 apiece. — Kristine Jane R. Liu, BusinessWorld