Shares digital

Coolabi (COO:AIM) – Interims PTP: -£0.5m (-£0.3m) Divi: n/a (n/a)

Losses widened at the small media company but management is still optimistic about the current year after securing a commission for BBC’s Cbeebies channel. Its May 2007 acquisition of the Purple Ronnie brand is going well, with two new book titles planned for summer, while its acquisition of Indie Kids in September brought with it the Worst Witch and Fungus the Bogeyman brands.

Management has ambitious plans for the company and expects to make more acquisitions to increase its IP portfolio. CEO Jeremy Banks has strong credentials in this field and was formerly chief financial officer and commercial director of Chorion, where he helped to more than double the value of the business before it was taken over by private equity group 3i in 2006 for £111 million.

Shares says: Moving in the right direction and has the management team in place to deliver. SPECULATIVE BUY

by: Susanna Twidale