Constellation Europe has signed an agreement with an importer in Finland, which will see the company expand into the on-trade in the country.

UK-based Constellation Europe confirmed to just-drinks today (3 October) that it will work with Servaali Oy in the country, starting from this week. Whereas previously, Constellation had sold directly to Finnish alcoholic drinks retailer Alko, a spokesperson for Constellation said the move had been made to branch into the Finnish on-trade.

Among the Constellation-owned brands that Servaali Oy will import are the South African wine brands Kumala and Flagstone, and the MezzoMondo wine brand from Italy.

"We are delighted to announce our new distribution agreement with Servaali to develop the Kumala brand in Finland," said Troy Christensen, CEO of Constellation Europe. "The move to Servaali will enable us to sell in the on-trade as well as the Alko shops."

Teemu Lehto, CEO of Servaali Oy, added: "The co-operation with Constellation Brands and Kumala is a significant step to the next level as a wine importer. The co-operation agreement with the world's biggest wine company emphasises Servaali's role as a quality player in premium beverage market."

Servaali Oy employs 35 staff in Finland and ten in the Baltic countries. The company is targeting sales in 2008 in the region of EUR20m (US$27.6m).