02/01/2008 AT 01:30 PM EST
will no longer host the upcoming party being organized at a Beverly Hills mansion by a friend of hers – who tells PEOPLE he has rescinded the invitation.
"Due to the circumstances
, I have decided not to pursue Britney Spears as a host for the upcoming Scandinavian Style Mansion event," Claus Hjelmbak, the Danish businessman behind the gathering, tells PEOPLE.
On Jan. 17, Hjelmbak, who first met Spears in 2006 and was at her side during an early morning shopping spree with Sam Lutfi at the Kitson boutque last month, told PEOPLE about his Feb. 16 event, "Britney has said 'yes' to hosting it."
But things have changed in light of the pop star's current hospitalization, her second.
"She is not being fired, nor is she deemed unfit for the role as a host, but I personally feel that the most important thing for her now is to focus on her health and get the help she needs and deserves," says Hjelmbak.
The party, a showcase of wares from Scandinavian companies, will still take place, as will a gesture of kindness to its former host.
"I have decided to give some of the proceeds from the sales of VIP passes to a charity of Britney Spears's choice," says Hjelmbak. The VIP passes may be purchased