San Miguel Corporation is getting a boost in its bid to build a new Manila Airport after it signed a memorandum of understanding with South Korea’s Incheon International Airport Corp. (IIAC).

The proposed airport – with a location 40 kilometers northwest of Manila in the province of Bulacan – is San Miguel Corporation’s bid to help address the congestion at Ninoy Aquino Airport, and the growing demands of the aviation industry of the Philippines. The company is waiting for government approval for the construction, operations, and maintenance of the USD $15.5 billion airport project for 50 years.

As one of the largest conglomerates of the Philippines, San Miguel Corporation has business ventures in the food/beverage, power & energy, and real estate industries. While it is the first airport project, it’s not the first foray in the aviation industry for the San Miguel group. In 2012, the company gained a 49% stake in Philippine Airlines for $500 million and control of the airline’s management via an agreement from tycoon Lucio Tan. Tan later bought back the shares in 2014.

IIAC also has ventures in 14 different countries that include projects in Russia and India.

In a report from the Korean Herald, representatives from the IIAC were quoted saying: “We successfully established cooperative relations with San Miguel with this MOU,” and added. “If the project is carried out in earnest, the company plans to participate as an operating business.”

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