Shares in Cosentino Signature Wines MCOZ.L slip more than 23 percent after the AIM-listed luxury wine producer posts first-half results, with Hoodless Brennan initiating coverage on the firm with a "sell" recommendation.
Napa Valley-based Cosentino, which sells its wines to fine dining restaurants and fine wine stores in the U.S., reports a loss before tax of $2.78 million for the half year to end-June against $0.35 million in the same period last year.
“Despite management remaining hopeful of a successful refinancing, we are concerned about the future of this company,” says Hoodless Brennan in a note.
“If the group is unable to secure new monies, we believe the business will be unable to continue as a going concern,” the broker says.
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