San Miguel Corp. said on Friday it is in talks to invest in telecommunications and a road project, extending Southeast Asia's biggest food and drinks firm's diversification moves.

San Miguel said is it "considering an investment in telecommunications" in response to a newspaper report that it will acquire local firm Express Telecommunication Inc. and merge it with 20 percent-held Liberty Telecom Inc.

San Miguel has a partnership with Qatar Telecom to launch wireless broadband and mobile phone services in the Philippines, where the mobile phone penetration rate now stands at about 75 percent.

The company confirmed it is talks with local construction firm DMCI Holdings Inc. to "explore potential participation" in an expressway project on the northern island of Luzon.

No further details were given.

San Miguel said last month it would sell 43.3 percent of its flagship San Miguel Brewery to Japanese brewer Kirin Holdings for $1.2 billion, in what analysts said was the strongest sign yet that the parent is keen to move out of its core business.

It signed a deal in October to acquire 27 percent of utility Manila Electric Co. for over $600 million and has agreed to buy a majority stake in oil refiner Petron Corp. San Miguel Brewery is in the midst of raising up to P38.8 billion ($800 million) from a domestic bond sale to fund the purchase of local beer brands and other assets from its parent. The parent has said it will use proceeds from the sale to fund its own acquisitions and pay down debt.

San Miguel shares closed 1.1 percent lower on Friday, in a broad market that eased 0.2 percent.