AUSTRALIAN PLANS PHILIPPINE BRANCH FOR TAKEOVER The Australia based <Ariadne Australia Ltd>, plans to set up a branch in the Philippines to fulfill a prerequisite for the takeover of the Philippine brewing firm, <San Miguel Corp>, a Hong Kong newspaper said. The Hong Kong Economic Journal quoted a spokesman of Australian stock broker Jacksons Ltd as saying that <Barwon Farmlands Ltd>, a listed Australian firm of which Ariadne owns a 30 pct stake, is planning a branch in the Philippines. He added Jacksons is arranging an offer by Barwon to pay a total 3.8 billion pesos in cash for 38 mln San Miguel shares. Barwon is offering 100 pesos each for 24 mln class A San Miguel shares and 14 mln class B stock. But the Jacksons spokesman noted that the more valuable A stock would only be sold to Filipinos or companies registered in the Philippines. He said Barwon has approached the Philippine government which seized the block of shares from the United Coconut Planters Bank, which is believed to be linked with the country's deposed President Ferdinand Marcos. He added he expects a deal to be concluded between Barwon and the Philippine Government in 14 days as it is the only offer in cash, the newspaper reported. Hong Kong Economic Journal also noted stock market rumours that <Neptunia Corp>, a Hong Kong registered company which controlled by San Miguel's president Andres Soriano, is the other party keen on the block of San Miguel shares. The Philippine's Commission on Good Government ruled last May against a move of Neptunia to acquire 33 mln San Miguel shares controlled by the brewery firm's former chairman Eduardo Cojuangco, who is also chairman of United Coconut. Commissioner Ramon Diaz said at the time the government would not allow a subsidiary to buy into a parent firm, adding San Miguel could have offered the shares to other parties. The Manila newspaper Sunday Times published a letter sent yesterday to President Corazon Aquino from Ariadne's chairman, New Zealander Bruce Judge, that he was offering cash equivalent to five pct of the nation's yearly budget to buy the shares from the government. "Judge's offer of 3.8 billion pesos is about five pct of the Philippines' yearly budget," Ariadne's Philippine agent Domingo Panganiban was quoted as telling reporters yesterday. Spokesmen of Ariadne, Jacksons and Neptunia were not available for comment, nor any officials of the Philippines. <San Miguel Brewery Ltd>, a Hong Kong listed company which is 69.65 pct held by Neptunia on behalf of San Miguel Corp, closed 40 cents higher at 15.50 H.K. Dlrs on Friday.