May 24 (Bloomberg) -- Nomura Holdings Inc. may bid for Philippine government stakes in San Miguel Corp. and Manila Electric Co., Philippine Trade Secretary Peter Favila said.

Nomura officials said ``they would be interested to participate'' in the government's asset-sale program during a meeting with President Gloria Arroyo in Tokyo yesterday, Favila said in a phone interview from the Japanese capital. ``It's more of taking a position'' than advising the government on a sale.

The Philippines plans to sell a 24 percent stake in San Miguel, the nation's biggest food and beverage company, and 29 percent of Manila Electric, the country's largest power retailer, to help narrow its budget deficit. The San Miguel stake is still subject to an ownership dispute.

San Miguel, 20 percent-owned by Tokyo-based Kirin Brewery Co., has a market capitalization of $4.8 billion while Manila Electric is valued at $2 billion. San Miguel bought National Foods Ltd., Australia's biggest dairy company, in 2005.

Nomura, which has bought stakes in Japanese and European companies using its own funds, set up a merchant bank in Hong Kong on May 1 to handle such deals.

The Philippine Star today reported Nomura ``expressed interest'' in the government's stakes in the companies, without elaborating.

To contact the reporter for this story: Francisco Alcuaz Jr. in Manila at falcuaz@bloomberg.net

Last Updated: May 23, 2007 20:41 EDT