Fever-Tree shares hit new record, group valued at £4.5bn

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Shares in Fever-Tree have hit a record high at 3,987 pence in early trading on Tuesday.

The upmarket drinks firm is valued at £4.5 billion as it said it that it expects full-year results to be “comfortably ahead” of previous forecasts.

Shares in the group have surged since its flotation on the stock market in 2014 at just £1.66.

“Whilst this is a notable achievement, there remains a significant opportunity in front of us across all our regions as Fever-Tree continues to drive the evolution of the mixer category,” said Tim Warrillow, the group’s co-founder and chief executive.

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Strong sales in the carbonated drink have come off the back of strong gin sales, which have doubled in value over the past six years, and totalled £1.2 billion in the 12 months to September last year, according to the Wine and Spirit Trade Association.

Fever-Tree has signed two new distribution arrangements. One with wine and spirits distributor Southern Glazer based in the US, and the other with Spain’s Grupo Damm, the maker of Estrella Damm beer.

The group has increased U.S. investment over the past six months and has set up an office in New York. 

Shares in Fever-Tree are currently trading up 10.07 percent at 3803 pence (1159GMT)