4 Brands plus new luxury brand to be acquired, strong UK market sales, red wine, white wine, low/zero alcohol wine, spirits, wholesale juice processing capability, 78% branded wine sales, low ROE with 10% target (implies NPAT growth of 33% or $27 million). Trades at 0.5X book and 0.75X NTA, strong ESG credentials, Quality management presentation. Inflation impacting near term profitability. 2023 profitability vs 2022 will be determined by growth/innovation in low/zero wines and the new strategy in spirits.
Peers
Foley Wines (FWL) - Trades < NTA, cheap
Treasury Wines (TWE) - Trades at 2.3X Book
Delegat Group (DGL) - Trades 2X Book
Duckhorn Portfolio (NAPA) - Trades 2X Book
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