The company could make its initial product offering during the second half of the year, Pobeda's chairman, Sava Charoleev, told the Dnevnik news agency in an interview.

The move would allow the company to increase transparency through its operations and attract outside investment for the company's future growth, he added.

Pobeda's decision comes as a growing number of Bulgarian food and beverage groups turn to public trading to garner the investment funding they need to compete with stronger, and more established EU rivals.

With Bulgaria's ascension to EU membership from 1 January this year, analysts believe the country's market for food and beverage products offers huge potential for growth.

As such, Pobeda expects that the proposed listing would raise up to €16m in investment capital for the proposed construction of its second production plant. The plant is being built in anticipation of increased demand for its chocolate and pastry products in export markets.

The company will also consult foreign equipment suppliers over its needs to ensure production will meet standards within export markets, Charoleev said.

Should the listing go ahead, Pobeda will join local wine maker Todoroff on the Bulgarian bourse.

Packaged food and beverage groups in emerging EU economies like Bulgaria and Romania are seen as being vitally important to the Eastern European economy.

Declining growth in major regional markets like Poland is set to be offset by newly ascended nations like Bulgaria, according to findings this year by consumer analyst Euromonitor.

Bulgarian demand for packaged foods are expected to undergo strong growth of about 17 per cent by 2011, according to a Euromonitor forecast.