V spells victory in UK market

Frucor Beverages says it has cracked the British market by getting its energy drink V onto the shelves of two big supermarket chains, Tesco and J Sainsbury.

The New Zealand beverage group said it would spend $35.7 million in 2001 promoting its drinks brands, up from $19.4 million in 1999. Much of this would be spent on launching V in the UK, where it will also be sold in 500 BP Amoco service stations.

"Our established experience in product marketing and category development in new markets, with the strong performance track record of V in New Zealand, Australian and South African markets is the foundation of V's expected success in the UK," said Mark Cowsill, Frucor's managing director.

Frucor plans to raise as much as $141 million through a public share sale to fund planned overseas expansion. Frucor, which will list stock in New Zealand and Australia, expects to sell 62.6 million shares, or 50.1 per cent of the company, at 195c to 225c each.