symbol PURE on London AIM
symbol 4PC in Frankfurt
symbol PCRTF on US OTC (pathetic volume)
PureCircle is the world's leading producer of natural, no-calorie Stevia sweeteners for the global food and beverage industry. Stevia is a plant native to Paraguay, used for centuries as a sweetener there. Through innovative technologies, patented processes and anintegrated supply chain, we are able to produce a wide range of excellent-tasting, no-calorie, natural sweeteners from the stevia plant. We have developed a method of naturally extracting Reb A from the stevia plant to produce a sweetener which is up to 400 times sweeter than sugar, has a similar taste to sugar, but unlike sugar, has no calories.
Benefits of Stevia-derived RebA: all-natural, no calories, low glycemic load (safe for diabetics), high solubility (ideal for diverse food applications), heat stable (suitable for cooking), toothfriendly, pH stable, non-fermenting, excellent shelf life, photo stable, JECFA approved.
The share price is at all-time LOW
these days (June 2011), which values the company at just over 3x what their product inventory is worth! Production is spread across 20 countries, they are the leading tabletop sweetener in the USA (where growth is triple-digit
). Europe and Asia Pacific are expected to give approval later this year
for some key products, which should unlock many other SKU offerings and help boost triple-digit growth to even higher levels.
They hold many patents on refining high-purity Stevia and Stevia-derived all-natural sweeteners. Stevia requires dramatically less land and water as a crop than sugar (and lower carbon-footprint due to transport). The product has a shelf-life of 3 years, so inventories are easy to handle, and they currently have about 1 year's supply sitting in inventory.
They invested heavily on production capacity in the past (virtually no more investment needed for now.. have plenty of capacity). Have started plantations in > 20 countries around the world, but are keeping production levels low until the demand grows.
Have signed many global and regional partnership with major F&B (food & beverage) companies, including 8 of the top 10 largest F&B companies in the world and 20 global key accounts including Pepsico, Coke, Cargill, Unilever, and Kraft. Many are in trials, and Pure needs to be able to guarantee production capacity in order for them to sign-on (hence why they spent so much in the past). Many products are already using their products (hundreds of SKUs ?). Pure already has 90% of the natural table-top sweetener market in the US.
Pure is also engaged in an awareness campaign also (setup a Stevia institute, co-branding with partners, etc.). When you think how aware we are becoming about diet & nutrition, and that sugar-free F&B products contain carcinogenic artificial alternatives.. Stevia has a bright future.
Today's PPS (June 23, 2011) is 80% off the all-time high, and 52% off the IPO price in 2007.
Some liks for PureCircle:
Price & Chart:
Latest semi-annual Report (ended Dec 2010):
Recent Insider Buying: