Del Monte Pacific said on Thursday it has received in-principle approval from the Singapore Exchange (SGX) for its proposed buyout of the consumer food business of privately-held American corporation Del Monte Foods.

The approval is subject to, among other things, compliance with the SGX's listing requirements and the approval of shareholders.

Del Monte Pacific, which is listed in Singapore and the Philippines, announced in October last year that it would pay US$1.675 billion for Del Monte Foods' consumer food business.

The deal will allow the Filipino-owned company, which operates one of the largest pineapple plantations in the world, to break into the US market.

Last week, Del Monte Pacific said it had obtained US$515 million in financing from Banco de Oro Unibank and Bank of the Philippine Islands to partly fund the acquisition.