UPDATE 1-Stock Spirits offers shares at 210-260 pence each-sources

Tue Oct 8, 2013 4:19am EDT

LONDON Oct 8 (Reuters) - Stock Spirits is offering to sell shares at between 210 pence and 260 pence each in its London listing, two sources close to the deal said, valuing the vodka maker at as much as 520 million pounds ($836 million).

The company, majority owned by U.S. private equity group Oaktree Capital Management, plans to sell a stake of between 35 and 55 percent in the offering, the sources said on Tuesday, as Stock Spirits began taking orders for the shares.

The offer would value the British-based drinks firm, the biggest vodka producer in Poland and the Czech Republic, at between 420 million pounds and 520 million pounds, one of the sources said.

Both Oaktree and company management plan to sell shares in the offering, due to be completed this month, although Oaktree will remain the group's largest shareholder following the float.

Stock Spirits also plans to raise 52 million pounds from the sale of new shares to pay down debt.

The company, whose drinks range from upmarket Polish vodka Czysta de Luxe to fruit-flavoured liqueurs and Spanish brandies, was established in 2007 when Oaktree merged Czech business Stock with its Polish counterpart Polmos Lublin, which the private equity group had acquired a year earlier.

Oaktree looked at selling the company in 2011, pursuing a possible deal with the world's biggest spirits group Diageo and then later considering a listing on the Warsaw bourse before eventually deciding to keep hold of it.

JP Morgan and Nomura are acting as joint global co-ordinators and joint bookrunners on the initial public offering, while Jefferies is also a joint bookrunner.

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