San Miguel Corp. (SMC.PH), the Philippine food and beverage conglomerate, is in talks to buy 49% of Philippine Airlines Inc. and take management control of the country's largest carrier, Bloomberg News reported Friday on its website, citing three unnamed sources.
San Miguel is expected to pay $500 million for the stake, the report quoted one of the sources as saying. The holdings of Lucio Tan, who controls Philippine Airlines through companies including PAL Holdings Inc. (PAL.PH), will drop to about 51% as the carrier will issue new shares, the report added.
A Philippine Airlines spokesman and San Miguel President Ramon Ang both declined comment, the report said.
Full Story: http://www.bloomberg.com/news/2012-02-23/san-miguel-said-to-be-in-talks-to-buy-49-of-philippine-airlines.html