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Time is at a premium at the moment, (the cricket is on)so I will take the lazy way out on recommending this one and just copy the last brokers note, I do expect a new one out any day with todays excelent news. Heres the Broker Buy note from Evo Bee Greg.....
The group have (sic) recently announced the acquisition of Extreme Beverage Company. The merger rationale seems excellent, especially given the nature and appeal of both the Players Extreme and Blavod brands to similar markets whilst the depth of Extreme�s distribution network in the US will give Blavod the much needed platform from which to grow. The management team is headed up by CEO Jeff Hopmayer, the original founder of Extreme Beverage. He is a proven entrepreneur with a very strong track record.



The US remains the only major untapped market for Blavod but also represents the biggest scope for potential especially given that the US is the most important vodka market in the world. In addition flavoured and ultra-premium vodkas are predicted to enjoy the greatest future growth with flavoured vodka now accounting for over 5% of the total vodka market.

Our forecasts are based on relatively conservative assumptions and are primarily driven off our own estimates of case sales. For the year to March 2004 we expect the total number of cases sold to be in the region of 49,000 (this is based on a full 12-month trading period from Blavod but only includes Extreme�s trading period from the 20th January) and expect this to grow to 229,000 in 2004/05e. Gross margin of c33% is low compared to the industry average of c60% and we expect the gross margin to grow as the group realises further cost efficiencies. Our forecasts assume breakeven in 2005/06e.

Valuation is less straightforward and historically the main valuation metric has been industry exit multiples for previous transactions and case sale ratios. These give a range of between 55p and 80p a share. However, there are risks and the group is still in the early stages of growing both the Blavod and Players Extreme brands and as such our price target of 55p reflects the lower end of our range. As the strength of the brands grow and they become more of a strategic asset, this could move the valuation towards the top end of our range in line with our DCF value of 85p. This is an appealing and attractive growth story."

Year to March 31st Sales (� million) Pre-Tax Profit (�million) Earnings Per Share (p)
2004E 1.8 -1.3 -5.4
2005E 9.5 -2.9 -4.7
2006E 17.9 0.3 0.4

Nb, the company have gone some way today to getting a foothold in the US market , see todays RNS on next post.

cheers GF.

Just for interest the company I thought were going to bid for BES yesterday filed for bankruptcy.

Talk about insider dealing in the UK, look at the share price of this 360 Global Wine in the US --- TSIX is the code -- all the newsflow was insider selling for 3 months. Then look at the price action I saw last Weds/Thurs

You have to laugh ........don't you?

Nice buy note from evo, price target 85p ??

In there dreams.

MS

Further 5% fall today, so it seems the Market is efficient...a lot more eff than [BES] execs - has anyone been to their AGM - what was yr impression....and when is the next one?
If it's in London then I get the impression they aren't frightened of investors...however, the timing is also important - 11.00, or later, is OK before that time (esp 9.30) is a sure sign a co. is on the rocks, IMHO.

Sudden improvement, yst no RNS has appeared so it can't be the Company - can it?
The sp has been sliding steadily before and after my earlier post(13March07), so this "improvement" is pretty tiny and maybe it's one to steer clear of . . . . oh dear. . . . it would be nice to see a tiddler do well....

at last all the assets and losses in the usa are being dumped at great cost to BES. Now they can get on with the brands they originally started with, the core of the group. Losses should be eliminated and value back to shareholders. Directors abandoning ship. Lets see how the sp reacts !

John I think this could be a strong gainer when it comes back.Winnifrith has been recommending it strongly.

RNS Number:6446H
Blavod Extreme Spirits PLC
13 November 2007






Blavod Extreme Spirits plc

General Meeting statement


13 November 2007


At the General Meeting held today, the Company made the following statement:


In the half year to 30 September 2007 Blavod Drinks Ltd, the principal UK based
trading division of the Company, is expected to report an unaudited operating
profit of circa #55,000 versus an operating loss of #203,000 in the
corresponding period last year. Overall company case sales grew 34% and Blavod
Black Vodka grew 6% despite the lack of promotional support due to the Company's
financial state. All the brands in the portfolio showed growth and all made a
profitable contribution.


The US trading arm, the sale of which was completed on 5 October 2007, recorded
operating losses of circa $2m.


Overall, the outcome excluding the US but including corporate costs is expected
to show a small loss before tax.


Traditionally the first half volumes and profits are lower than the second half
which includes the key Christmas trading period. Initial orders received from
major customers are encouraging.


The Company expects to announce its interim results by the end of December 2007.


At the General Meeting the resolutions to approve the report and accounts for
the year ended 31 March 2007, and to give the Directors authority to issue new
ordinary shares without pre-emption, were approved.


ENDS

All buys so far this morning after yesterdays news.

Up on the bid.

Interesting transaction just before midday - about 0.8% of the companies total shares bought in one transaction ...... must something distilling or someone anticipating good interims next month ..... as usual time will tell but I'll have a Royal Tokaji whilst I am waiting ...

Cash call +director buys - oh dear so they've now got c.360k cash to strengthen the books - and pay-off some debts I suspect. Up nearly 5% so the MM's must think folks will buy now.
Looks like small-beer/petty-cash to me....at a sp of 2.75 pence. . . . . this is really times-low. I wonder there won't be another cash-call.... Grief, this is Xmas run-up... I could understand it if it was Autumn and they needed to provide a large shipment (etc.), but this IS their BEST time, for getting "in" the Money!
- - - No bonus for Execs. - - -
Still, shareholders can "drink to improvement", eh?
Let's hope so, but I fear Advertising from the Big Boys and a non-specific USP means this is about right for price/value.

Well, situation is somewhat better than earlier in the year. Disposal of the business and assets of Blavod Extreme Spirits USA, Inc. completed. Now all the placed shares have been taken by institutional investors, and Directors and key employees of BES. Nice to see Directors / employees stumping up their own money. Things should become a little clearer when the Interims come out later this month.

Perhaps the heading should now be:
BLAVOD EXTREME SPIRITS, Now Concentrating on this side of The Pond.

Interims out this afternoon. No surprises. Large losses due to US operation. That has now been disposed of. With the UK operating company making a profit of 56.8k, 354k recently raised via placing (including the Directors subscribing for 96.5k), and the current sales of all the major brands showing positive trends, then look forward to a good H2 report.

A year ago their sp was 14p.Shares are being punted by TW steer clear for the time being all to do bad track record.

Yeep, the SP has fallen considerably. Company was overvalued and loss making before. Now with recent disposal of US operation then it should be profitable in present half year accounting period. Cockspur profile seems to be rising. Directors subscribed to more than a quarter of recent placing. As always, time will tell.....

PS: Probably is a negative point if TW has tipped it .... but perhaps he isn't wrong everytime?

So, despite TW 'tipping' it, then the SP has started to move up this morning .... helped by a preliminary update on Christmas trading.

And reasonable rise today - helped by the Barclays RNS....

Although describing the trading environment as difficult and uncertain, the company stated it is optimistic for the second half noting that Blavod Black Vodka export sales have improved, its enlarged portfolio has now been successfully integrated, costs are not expected to rise further as a full complement of sales people is now in place and that it is fighting to regain the lost black vodka distribution in the UK. We understand this lost distribution was the result of a well-financed rival product introduction, the threat of which looks to have since been diminished by a legal intervention from Blavod, and that Blavod is hopeful of winning the lost accounts back in quite short order.

However, despite these positives the results statement concluded;

For the full year to 31 March 2010 the Board expects to report results significantly ahead of last year. However, given the uncertainties and challenges set out above in relation to the second half of the year, at present the Board expects the full year results to be slightly below market expectations.

www.UK-Analyst.com

sell.