Polmos looks set for public offering after tender fails

The treasury ministry yesterday cancelled a privatization tender for the biggest domestic vodka producer, Polmos Bialystok. In a statement, the ministry said, "After an analysis of the received initial offers placed by potential buyers, the treasury finds the bids unsatisfactory." The identity of the bidders has not been officially revealed, but according to Puls Biznesu, the only serious candidate was the Swedish-German consortium of Eckes and Vin & Sprit. Another leading contender, Bols BV, withdrew from the tender before the final stage. Sources familiar with the tender suggest that Eckes and Vin & Sprit was unwilling to meet the ministry's zl.600 million valuation of the distillery. As a result, Polmos Bialystok is now likely to be privatized through a public offering. Analysts say that there is little chance of the consortium being persuaded to reconsider its bid, since it does not intend to buy more than one Polish vodka producer, and it is already holding negotiations on the privatization of Polmos Zielona Gora. (Puls Biznesu, p. 8, Reuters) M.K.