As if to prove that companies investing in India can deliver value to shareholders, HaloSource has had an extraordinary run since Midas Extra, the online subscription column, recommended the shares just three and a half weeks ago (October 10).
Then they were 26p. Today they are 30 per cent higher at 34¼p and brokers believe that they should rise to more than 50p over the coming months.
American-based Halo has devised a new way of using bromine to purify water. The chemical is injected into tiny polystyrene beads, around half a million of which are put into a special cartridge that can be then be placed into a simple water dispenser.
As water is poured into the dispenser, bromine is released in minute quantities, enough to make the water safe to drink. The water tastes good and the method is safe and cheap.
Halo makes the cartridges and has formed partnerships with large water dispenser manufacturers in Asia and Latin America.
The group has been particularly successful in India and this week announced an agreement with American giant Tupperware, under which it will supply cartridges for a new line of water dispensers initially in the sub-Continent but possibly across the world.
Midas verdict: Midas normally suggests that investors should view shares as a medium to long-term investment. Those who bought HaloSource three and a half weeks ago, however, may choose to bank some profit at current levels and sell 30 to 50 per cent.
The rest of the stock should be retained in the hope that British chief executive Martin Coles continues to deliver growth. For new investors, the stock may be worth a punt even after its recent rise