Alkaline Water Comp Inc (WTER)

[Roland Rick Perry]

M&A Whispers?

More like Viva Fiesta for M&A.

271 deals closed over the last 12 months!

Read this: http://beveragestartupnews.com/beverage-mergers-acquisitions-2018-duff-phelps/

We've never played the acquisition target game with clients or investments, even when there is the possibility. The reason is depending on operating results - breakneck growing beverage start-ups could change their model and downshift to organic growth, which has a dramatic effect on their margins.

Or they could morph into being an acquirer if they are publicly traded and can use their stock to buy promising brands. When we found New Age Beverages (a client like WTER) they were a little brewery trading at $0.36 and a $5 million market cap with a dream of building and selling out to a bigger beer brand. But lo and behold, they became an acquirer, the stock went to $9.00 and a market over $500 million.

Had I been betting they were going be acquired, I may have sold at $1.00 when they announced they were instead, being a buyer, not a seller.

No one knows (including management) what will be the most appropriate course of action until things play more fully out.

The acquisitions of private beverage start-ups are what gets all the headlines, but they are never a 'case-study,' because being privately held, the operating results are private. You might read about the merger price and annual sales, but not much else.

We can ASSURE you Core Water and BAI were not profitable before they were acquired.

Core was bought for $525 million and had $90 million in tax benefits.

Bai was bought for $1.7 billion and had tax benefits of $400 million.

Well, hello, profitable companies don't come with tax benefits LOL!

Those guys lost money for years, and then payday. BIG payday. The problem with being public is uninformed investors (naysayers) could mone and complain with every losing quarter (yes, irritating) - but the benefit is that it's generally easier raising money to fund the growth.

Read a little. So you know which game your playing in. You don't bring a football to a baseball game, because it's really hard to throw a curveball with a football.

Bai Merger.

http://beveragestartupnews.com/dps-to-acquire-bai-brands-llc-for-1-7-billion-bevindustry/