SWEDEN: Government official quits in privatisation "row"

By just-drinks.com editorial team | 30 March 2007

Sweden's Finance Ministry has confirmed that an official close to the planned privatisation of V&S Group has resigned.

A spokesperson for the ministry told just-drinks today (30 March) that Malin Bjoerkmo has decided to quit but declined to comment further.

The official, Malin Bjoerkmo, told Swedish business daily Dagens Industri, that the Swedish government lacked the manpower to handle the raft of privatisations.

"There has been an incredible amount of important matters, and I don't think that the appropriate staffing is in place," Bjoerkmo was quoted as saying.

Earlier this month, the Swedish government tabled a motion for parliamentary approval to sell V&S, one of six state-owned companies it is looking to sell. The Swedish parliament will pass or block the proposal in May.

Bacardi has publicly registered its interest in buying V&S, while Diageo, Pernod Ricard, Fortune Brands and Brown-Forman have also been named as possible buyers.

Constellation Brands, meanwhile, has backed out of the race for Absolut after buying Swedish vodka Svedka.

Finnish state-owned beverage alcohol group Altia Corporation has confirmed that it could be interested in V&S' Nordic operations.

The owners of Arcus, Swedish private equity group Ratos, is also mulling a takeover bid for the assets.

Sectors: Spirits, Wine

Companies: V&S, Bacardi, Diageo, Pernod, Ricard, Fortune Brands, Brown-Forman, Constellation, Absolut