I have a decent sized position in Candy Club (clb) and have applied for a small parcel of Forbidden Foods (fff) as I like the thematic (consumer goods with a sustainability focus) but they are not like-for-like and shouldn’t be compared. I won’t list all the reasons CLB is better than FFF at this point in time, because that’s not what we’re here to talk about, plus I’ve written on it extensively in their sub forum for anyone who is interested.
One of my other large holdings, Wide Open Agriculture is a better comp IMO. Another consumer goods business with a sustainability focus. The market certainly has an appetite for these businesses at present (and will continue to do so IMO.
The numbers and valuation here are pretty reasonable IMO. My main concern is FFF’s choice of broker and corporate advisor. I do not rate Cadmon and have never dealt with BBW Equities so they are a bit of an unknown quantity. The sponsor broker and book build are very important ingredients in the success of an IPO. Pac Partners would’ve been a good choice for this type of business.
Nevertheless, I expect this one to do welll se it’s in the right sector at the right time, valuation is reasonable and market sentiment is pretty good at the moment. I’ll likely try and get some more on market once I’ve watched it trade for a bit first.
