Sobieski Dystrybucja wins negotiating rights to buy PB

Sobieski is said to have offered the Treasury well in excess of zł.700 million for the stake, as have its rivals in the bidding - Central European Distribution Corporation (CEDC) and Polmos Lublin. The exclusive negotiation period will last until June 3, which is unusually short compared to a typical period of around one month. Polmos Białystok has a 20.6% share of the Polish vodka market, producing, among others, the famous Absolwent and Żubrówka brands, both among the world's 30 best selling vodka brands. Meanwhile, Belvedere commands 31% of Poland's vodka market, which grew by 15% last year to zł.5.5 billion. The fact that the two companies together control more than 50% of the market could prove to be a big obstacle for Sobieski to receive necessary permission for the takeover of Polmos Lublin from the Competition and Consumer Protection Office (UOKiK). Polmos Białystok was recently floated on the Warsaw Stock Exchange and closed on Wednesday at zł.78.70, while the strategic investor is likely to pay more than zł.100 per share. (Gazeta Wyborcza, p. 24; Rzeczpospolita, p. B1) T.J.