Distil Share Discussion Threads

[boffster] 10/4/2017 12:45

I think a bit of balance is required here as this board has just become the same 3 or 4 investors hyping each other up.

I think a few points should be made. Particularly to make new investors aware.

The venture of RedLeg into the US is not guaranteed to be a success. Many years ago (I know because I've followed this company for over 10 years now) there was a push to establish Blavod in the states. It ended terribly. I do think RedLeg has more promise though.

Blavod & Blackwoods have been around for years. The Blackwoods brand was purchased by Distil for a pittance. In my opinion they are never going to be worth very much. If these brands were going to make it, they would have done so by now I believe. RedLeg is certainly the jewel in the DIS crown.

While a buyout of RedLeg could happen, who is to say at what price? £50m is extremely optimistic I would say.

The company now has a market cap of ~£13m. That is on annual revenues of only around £1.5m (maybe a bit more this year) and, as yet, no profit.

I'm optimistic on the company's future but I'm feeling that the shareprice may be starting to depart from reality a little.

[haggismchaggis] 10/4/2017 12:37

Highest share price of the past 12 months. Breakout.

[someuwin] 10/4/2017 12:37

At this rate we could see 3p+ this week.

[chinese investor] 10/4/2017 12:35

3.6p Imminent !

[haggismchaggis] 10/4/2017 12:30

RedLeg is proving it's a product that buyers like a lot, that fast growth is with a small amount of advertising plus word of mouth recommendations, in just a handful of markets.A big company such as Marie Brizard could spend millions on advertising, selling the product in 120 countries. They can see it's a product the customers want and are happy with in our smaller scale demonstration, so upscaling it to their markets they should easily be onto a winner and it could (as per DIS) become the number one dark rum brand globally.I'm sure they can see the value in it, to warrant paying maybe £50m for it. That's why I emailed them and told them about RedLeg yesterday.

[chinese investor] 10/4/2017 12:17

Triple Imminent !

[baticle] 10/4/2017 12:16

Oh my word !, just in from work and seen the rise in the SP, tempted to get more...the last price I paid was 2.2p but there's no chance of that now, Well I have spent the weekend introducing more of my friends to the charm and splendour of the Red Leg.... I should be on commission ;-)

[glennborthwick] 10/4/2017 12:05

sell the brand or buy out coming. Interesting 12 months ahead here. Can see this 3-4p end of summer

[someuwin] 10/4/2017 11:54

I'm still adding. Seems crazy not to - imo.

[onedayrodders] 10/4/2017 11:19

Indeed suw

Whatever sales revenue DIS achieves can be multiplied x 200 or more by the majors because of their global distribution points.

It's all about becoming a premium brand .. not bottom line sales although of course they need be consistently in growth pattern.

Doug said at the 4 UK Investor Show that RedLeg is "Hot Brand" ...who's to argue

;o)

[someuwin] 10/4/2017 10:37

The important thing to remember (and this is why DIS is such a good stock) is that a brand like RedLeg (or Blackwoods) will be worth many times as much to a major as it is currently to DIS. Purely because the big drink players already have huge distribution networks in place and can instantly increase sales manyfold.

[onedayrodders] 10/4/2017 10:29

And Mkt Cap still only £11.5m ... RedLeg as an award winning Rum and still growing IMHO is worth £50m alone.

[multibagger] 10/4/2017 10:19

I'm in with a tiny trade - momentum and trend seems to be on the up.

Redleg brand could be a good spinoff and gin brand portfolio also attractive !

Good luck all :)

[haggismchaggis] 10/4/2017 10:10

Only another 12 trading days to the trading update ;-)

[someuwin] 10/4/2017 10:08

I think DIS will be going a lot higher soon!

[someuwin] 10/4/2017 09:38

...Sadly not.

[haggismchaggis] 10/4/2017 09:35

Was that your 846,000 share buy? £19,881 Big Buy!

[someuwin] 10/4/2017 08:39

Bought a few more. Still very undervalued here.

[haggismchaggis] 09/4/2017 21:20

Suppose we sold RedLeg for £50m. The company could give shareholders a 2p special dividend (almost negates the cost of buying the stock at today's price!). That would cost circa £10m and leave the company with £40m to reinvest in existing brands and new brands. The existing brands and assets could then be valued at £10m by the market, leading to a share price of circa 10p. What a position to be in! Anything more for RedLeg? I guess it depends how quickly a realistic offer comes in for RedLeg, enough to sway Don into taking the money, the longer it takes the higher the price he will accept.

[moormoney] 08/4/2017 20:09

I went to replace my nearly empty Redleg today only to find mt Tesco has it at £20 no special offer! Back to Amazon for me!

[haggismchaggis] 08/4/2017 17:46

Now then, what have we here!!


Dated 5 April 2017

Marie Brizard Wines & Spirits in hunt for rum brand - just-drinks Exclusive

Marie Brizard Wines & Spirits has said it is ready to step back into the M&A arena to purchase a rum brand.



They are a group with 500m Euro a year turnover. They sell their products in 120 countries. Their 2018 business plan is focused on strong growth.

[baticle] 08/4/2017 17:45

Good find Haggis, Kind of puts into perspective how undervalued this company is given the accelerating popularity of Red Leg and hopefully, the gaining traction on the other brands also.

[haggismchaggis] 08/4/2017 17:31

Some acquisition prices from 2015.

[haggismchaggis] 08/4/2017 17:17

Thanks Griffin and Dante for the info.Peter, I said 28th because as you say, last year's trading update was on 29th, in both cases (pun!) it's the last Friday of April.