US beverage giant PepsiCo has devised a
"Plan B" in the event it loses its tussle with its Thai bottler Serm
Suk Plc by quietly taking over the San Miguel beverage factory in Thailand to
establish its own production base.
The company wants to extend its soft drink business after
its bottling contract with Serm Suk ends in October this year.
A source in the beverage industry said Pepsi-Cola (Thai) spent
4 billion baht to set up its own soft drink facility. It
bought the 95-rai fruit juice factory at Amata
City Industrial Estate in Rayong from the Philippines' largest brewer, San
Miguel, in the past two months for 2 billion baht.
San Miguel entered Thailand's juice market in 2007
with Berri, a 100% fruit juice.
Prior to selling its fruit juice factory to Pepsi, San
Miguel made an offer to Tan Passakornnatee, the founder of Ichitan Group, for 600-700
million baht.
San Miguel still operates its beer factory in Pathum Thani
province.