Spruce Point Issues "Strong Sell" Investment Opinion On MGP Ingredients

Spruce Point Issues "Strong Sell" Investment Opinion On MGP Ingredients (Nasdaq: MGPI) - Sees 60% - 70% Downside Potential

MGP Ingredients, Inc.

MGP Ingredients (“MGPI” or “the Company”) Is A Commodity Ingredient and Alcohol Producer Now Being Spun As A Sexy Transformation Story Into A Premium Producer of Branded Whiskey and Bourbon. MGPI is a simple story to understand. It operates two businesses: an ingredients business run from Kansas and an alcohol distillery in Indiana. Both of these facilities are old assets and prone to substantial operational hazards. Most recently, MGPI has experienced fires, work outages, and chemical disasters requiring the hospitalization of innocent people.

MGPI’s shares have appreciated 1,000% since 2014  as investors have cheered the Company’s decision to hire new management,...