What reputation?
To earn around 15% pa on private equity type deal for those who put money into 42 Below?
More like reputation to make money for himself and his mates, using other peoples' monies.
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why do ppl seem to think that FTB was such a great success. IT was average at best and if it wasnt Bacardi that came and bailed them out for far too much that would have been a pile of poo as well.
The return on 42B didn't really justify the risk. XRO has a similar strategy (growth at the expense of profit) so look at the returns those shareholders got to see what I am talking about.
I also think Craft beer is a harder sell. Beer traditionally isn't a premium product. Those who treat it as a premium product (crafties) like to try different varieties, not stay loyal to one brand.
$8.00 per bottle thanks moosie - its only beer!. Sounds like a bit of a fad to me, I know 42 Below had premium priced products but not to that extent!
http://www.moabeer.com/2013/08/buy-m...-of-a-brewery/
Giving them away:cool:
Big loss of face for Brian Gaynor as Milford invested into Ecoya and Moa, seemingly on the back of 42 Below.
But was 42 Below really such a huge success?
For Geoff Ross and Grant Baker, of course - turned them into legends as they made tens of millions of dollars from bugger all.
For investors who put in 50c in Oct 2003 to be taken out in Nov 2006 at 77c, it represented a return of 15.5% pa. Hardly worth that it was start up private equity type risk and when you further consider Ross and Baker put in 5% of the $$$ to get 60% of the company.
Anyway, let's wish them well as NZ needs new companies which harness the creative juices of Kiwis.
Me thinkth Ross and Baker days of raising funds for IPOs on the back of 42 Below are now over - Ecoya was not good but Moa is just plain bad.
And of course, just for you STC, Milford thought that Diligent was simply too risky for their clients to be invested in now! Meanwhile, they lost sight of the Moa while breathing in the scented vapors from one of the Ecoya candles? :D
So consensus is that MOA will not do a Little World Breweries (Little Creatures) trick and make shareholders rich.
Had my LWB cash at the time but MOA didn't excite me on little bit
Maybe back to Gage Rd then
MOA CONFIRMS IT IS ON TRACK FOR THIS YEAR'S SALES NUMBER they said in March
OK managed that .... well only a few months to go wasn't it
Forecast 2014 is 130,000 cases .... hey that's almost as much as 2013 .... growth ZERO
Maybe the story unfolds 2015