The chief executive of distribution group BWG, Mr Leo Crawford, will pay a pivotal role in determining the outcome of the bidding for the Pernod Ricard subsidiary, with both short-listed bidders understood to have made it clear that they want Mr Crawford and his management to remain in place after the company has been sold.

Pernod Ricard has confirmed that the bidding for BWG has been narrowed to two British private equity houses, Electra Private Equity and ABN Amro Private Equity. It is understood that one of these groups will be given preferred-bidder status within the next week and a sale will be confirmed by mid-October.

Current estimates are that BWG will fetch in the order of €300 million (£236 million).

Both Electra and ABN Amro are understood to be convinced that buying BWG only makes sense if the management team remains post-acquisition.

It seems likely that the senior management will be offered an equity stake in the new BWG, in the same way that Cantrell & Cochrane management received an estimated 5 per cent stake when it was bought by British private equity fund BC Partners.

There is also speculation that BWG's 2,000 employees in the Republic and Britain may receive a windfall payment - either through small equity stakes in the new business or a cash payment.

BWG's long-term future will depend on the eventual buyer. But private equity houses such as Electra and ABN Amro traditionally operate on a five-year time scale before realising their investment, usually a trade sale or a stock market flotation.

BWG has a significant market share in the distribution business, the Spar and Mace franchises in the Republic and Northern Ireland respectively, the Spar franchise in the south-west of England and the Bargain Booze off-licence chain in Britain.

The group's turnover is understood to be split roughly two-to-one between the British and Irish businesses.

Last year, BWG increased its sales by 29 per cent to €1.26 billion and operating profits were 27 percent higher on €44.7 million.