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Strategies & Market Trends : Dino's Bar & Grill

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To: Goose94 who wrote (38031)9/10/2019 7:55:16 PM
From: Goose94Read Replies (1) of 202922
 
Diamond Estates Wines & Spirits (DWS-V) top pick from Stephen Takacsy on BNN.ca Market Call Tuesday Sept 10th @ 1200ET

Diamond is the only publicly traded wine company in Canada besides Andrew Peller and the third-largest VQA producer in Ontario. The stock has been weak due to a drop in exports due to trade tensions with China and the loss of two customers at its agency business one year ago, although both businesses are growing again.

The big news is that Diamond recently announced in July that Lassonde Industries (one of North America’s largest juice companies) has taken a 2-per-cent stake in it. This is a game changer, providing Diamond with capital to grow its newly acquired B.C. operations and a strategic partner to increase wine distribution in grocery stores across Canada and agency sales in Quebec. We also expect Lassonde to acquire the entire company at a significant premium to the current share price within a few years. We recently bought another 3.1 million shares and increased our ownership up to 9.9-per cent at an average cost of 19 cents.
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