MANILA, Philippines - Global beverage producer and distributor Coca-Cola FEMSA is investing more than P1 billion to improve its manufacturing capability in the Philippines.
The capital spending includes the acquisition of the San Miguel Groupâ€™s manufacturing facility in line with the companyâ€™s plan to grow its footprint in Mindanao, the firm said in a statement.
â€œCoca-Cola FEMSA Philippines is investing an initial P1.2 billion towards increasing its manufacturing capability in the country,â€ the company said.
The beverage maker recently acquired a non-alcoholic beverage facility, warehouse and real estate property of diversified conglomerate San Miguel Corp.
â€œWe remain very optimistic about the opportunities that the Mindanao region has to offer. With this acquisition, we confirm our confidence in the economic growth of the Philippines,â€ said Coca-Cola FEMSA Philippines CEO Juan RamÃ³n Felix.
The softdrinks giant said the newly-acquired plant, along with existing manufacturing facilities in Mindanao, will contribute to expanding sales and distribution network in the region.
â€œThis will provide us with the flexibility to expand our operations as demand increases,â€ said Juan Dominguez, corporate affairs director of Coca-Cola FEMSA Philippines.
Coca-Cola FEMSA completed the construction of the megaplant in Misamis Oriental two years ago. It has since been expanded with the installation of a new bottling line, bringing the total number of lines to three.
In January, Coca-Cola FEMSA Philippines started its operations in the country after acquiring a 51-percent stake in Coca-Cola Bottlers Philippines for $688.5 million.
Coca-Cola FEMSA produces and distributes Coca-Cola, Fanta, Sprite, Del Valle, and other trademark beverages of Atlanta-based The Coca-Cola Co. in Mexico, Guatemala, Nicaragua, Costa Rica, Panama, Colombia, Venezuela, Brazil, SÃ£o Paulo, Argentina and the Philippines. It also distributes bottled water, juices, teas, isotonics, beer, and other beverages in some of these territories.