Andrew Peller (ADW-A) was up 40% Monday after announcing Fairfax will take it private in a $580M deal, which represents 8-9x NTM EBITDA - below its pre-pandemic multiple…

… much like the Blackline and Gamehost takeouts earlier in the year, despite meaningful fundamental improvement…

… which likely has more runway, with domestic wine penetration creating an organic growth lever in an otherwise challenging backdrop for alcohol.

The tough environment has likely created stress among the smaller peers, and with the balance sheet in great shape…

… Fairfax likely views Peller as a vehicle to capitalize on industry consolidation.

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