$PLSB: Pulse Beverage Corp (OTCMKTS: PLSB) Is An Ideal Takeover Candidate
By Alex Carlson / in Momentum & Growth, Momentum Stocks, Stocks / on Monday, 27 Mar 2017 03:06 AM / 0 Comment / 140 views
Pulse Beverage Corp (OTCMKTS: PLSB) has become one of the more active names on the OTC Markets. Shares picked up after the company has released new updates regarding its line of beverages and been able to secure additional financing. With shares on the move again, we’re taking a closer look to see if PLSB can become a multi penny runner.
First up, a little background on the company. Pulse Beverage Corp is an emerging beverage company that offers Natural Cabana Lemonade/Limeade in 7 great tasting, low-calorie flavors and Natural Cabana Coconut Water in pineapple and natural flavors. With Pulse’s revamped business model, utilizing warehouse direct and key accounts, Pulse directly teams up with major retailers like Walmart, Albertsons/Safeway, Kroger, Stater Bros, Food Max, Houchens, Kmart, 7-Eleven, United C-stores, Weis Markets, King Kullen, Dierbergs Markets, Hy-Vee Supermarket, WinCo Foods, Price Less Markets, Gristede’s Foods, Toot n Totem and Travel America.
Back in February, Pulse announced that it secured additional capital to restock Pulse’s Cabana Coconut Water in both Natural and Pineapple flavors. In a transaction with Rockwell Capital, Pulse obtained $265,000 in new equity capital which was paid immediately to two of its major vendors who produce and supply the Company’s signature containers and well received coconut water. Pulse also said that it was in negotiations with additional funding sources for additional debt and equity capital to both provide additional resources for growth and pay down some of the debt to TCA Global Credit Master Fund, LP to lower the debt related expenses on its income statement. CEO Robert Yates said:
The company next announced that Flash Foods, a division of CST Brands Inc (NYSE: CST), is carrying Natural Cabana Coconut Water in 16.9 ounce size in both natural and pineapple flavors. Georgia based Flash Foods has 167 convenience stores located throughout Georgia and Northern Florida. Pulse’s coconut water will be placed in the high traffic cold box produce section.
The biggest development from Pulse was earlier this month when the company secured March orders in excess of 21,000 cases of Natural Cabana Lemonade/Limeade and Coconut Water. These figures are almost triple the sales booked for February. As Pulse fulfills the orders booked for March they will ship more than 16,000 cases (February – 5,450 cases) of Natural Cabana Cabana Lemonade/Limeade and more than 5,000 cases (February – 2,481 cases) of Natural Cabana Coconut Water. CEO Robert Yates said:
In assessing PLSB, the beverage segment is one of the fastest growing sectors to be in. Pulse has one of the best tasting coconut waters on the market. The problem as we see it is distribution and being able to keep up with orders. While the company has been working to fix these issues, many shareholders have grown frustrated with the slow pace. In our opinion, the best move for PLSB would be a sale or merger with another company like New Age Beverages Corp (NASDAQ: NBEV). We have covered NBEV and can say firsthand that it is a well-run company with a great management team. PLSB has a current market cap of just $723,435. A buyout of PLSB would be a drop in the bucket for New Age and its $124 million market cap.
https://www.insiderfinancial.com/pulse-bevera...te/120357/
By Alex Carlson / in Momentum & Growth, Momentum Stocks, Stocks / on Monday, 27 Mar 2017 03:06 AM / 0 Comment / 140 views
Pulse Beverage Corp (OTCMKTS: PLSB) has become one of the more active names on the OTC Markets. Shares picked up after the company has released new updates regarding its line of beverages and been able to secure additional financing. With shares on the move again, we’re taking a closer look to see if PLSB can become a multi penny runner.
First up, a little background on the company. Pulse Beverage Corp is an emerging beverage company that offers Natural Cabana Lemonade/Limeade in 7 great tasting, low-calorie flavors and Natural Cabana Coconut Water in pineapple and natural flavors. With Pulse’s revamped business model, utilizing warehouse direct and key accounts, Pulse directly teams up with major retailers like Walmart, Albertsons/Safeway, Kroger, Stater Bros, Food Max, Houchens, Kmart, 7-Eleven, United C-stores, Weis Markets, King Kullen, Dierbergs Markets, Hy-Vee Supermarket, WinCo Foods, Price Less Markets, Gristede’s Foods, Toot n Totem and Travel America.
Back in February, Pulse announced that it secured additional capital to restock Pulse’s Cabana Coconut Water in both Natural and Pineapple flavors. In a transaction with Rockwell Capital, Pulse obtained $265,000 in new equity capital which was paid immediately to two of its major vendors who produce and supply the Company’s signature containers and well received coconut water. Pulse also said that it was in negotiations with additional funding sources for additional debt and equity capital to both provide additional resources for growth and pay down some of the debt to TCA Global Credit Master Fund, LP to lower the debt related expenses on its income statement. CEO Robert Yates said:
Quote:“The beverage business is very working capital intensive during the first 5 years of delivering new product. Capital is used for slotting fees, marketing as well as inventory. This capital not only paid off our older outstanding bills but opened up new credit to help keep up with demand.”
The company next announced that Flash Foods, a division of CST Brands Inc (NYSE: CST), is carrying Natural Cabana Coconut Water in 16.9 ounce size in both natural and pineapple flavors. Georgia based Flash Foods has 167 convenience stores located throughout Georgia and Northern Florida. Pulse’s coconut water will be placed in the high traffic cold box produce section.
The biggest development from Pulse was earlier this month when the company secured March orders in excess of 21,000 cases of Natural Cabana Lemonade/Limeade and Coconut Water. These figures are almost triple the sales booked for February. As Pulse fulfills the orders booked for March they will ship more than 16,000 cases (February – 5,450 cases) of Natural Cabana Cabana Lemonade/Limeade and more than 5,000 cases (February – 2,481 cases) of Natural Cabana Coconut Water. CEO Robert Yates said:
Quote:“By restructuring our business, receiving new capital and putting it immediately to work producing product, we will ship enough product to reach a break-even EBITDA for the first time in the month of March. With additional capital we will be able to produce and ship even more product in April which would then be our first profitable month. We believe the best path to shareholder value is to continue to put together back to back periods of increased revenue and profit.”
In assessing PLSB, the beverage segment is one of the fastest growing sectors to be in. Pulse has one of the best tasting coconut waters on the market. The problem as we see it is distribution and being able to keep up with orders. While the company has been working to fix these issues, many shareholders have grown frustrated with the slow pace. In our opinion, the best move for PLSB would be a sale or merger with another company like New Age Beverages Corp (NASDAQ: NBEV). We have covered NBEV and can say firsthand that it is a well-run company with a great management team. PLSB has a current market cap of just $723,435. A buyout of PLSB would be a drop in the bucket for New Age and its $124 million market cap.
https://www.insiderfinancial.com/pulse-bevera...te/120357/
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