Celsius Holdings Inc (CELH)

[Rainmaker88]

Wippersnapper, thanks for posting the article from Takeover Analyst on Seeking Alpha. Kezzek indicated in one of his previous posts today that he expected the share price of CELH to fall, not rise, from its current level of around 0.40 cents. I couldn't disagree more. In fact, if you take a look at previous acquisitions in the beverage industry space, you would discover that many companies have sold for a price that is equal to 2X - 4X their annual revenues. Celsius Holdings had FY 2011 annual revenues of $8.5M. Applying this same formula would result in a takeover price of between $17M and $34M. With approximately 20M shares outstanding (of which management owns 52%), this would translate into a CELH share price of somewhere between 0.85 cents and $1.70. Also, these numbers do not take into consideration any future revenue growth from international sales, and the new strategic business plan being undertaken by the current management team. It also fails to assign a value to the all-important clinical studies. Like the author in the Seeking Alpha article, I believe that this stock is significantly undervalued, and, like him, I also expect CELH to generate significant returns for its shareholders in the future. As far as the pink sheet issue is concerned. It really is a non-issue, since the exit plan for all shareholders (including Carl) is the ultimate sale of the company to a much bigger player. Your thoughts?