Even in the midst of a recession, treasures are there to be had. Some of those treasures emerge from the ground, to be cut and tailored to the needs, wishes and desires of jewelry lovers everywhere, and the companies responsible are in line for immense riches.
It may not be one of the big names in the world of jewelry, but Los Angeles-based Bergio International, Inc. (OTCBB: BRGO) scored something of a coup in mid-April, by winning an initial $250,000 order with one of the main jewelry store chains in Saudi Arabia.
Plans call for the company to use this as a cornerstone in developing significantly more orders and contracts for the region. Given the petro-dollars involved in the Saudi economy – and given that the oil industry is making a comeback -- this news could indeed prove lucrative.
BRGO is creating one of the World's largest diversified jewelry designers and manufacturers through acquisitions and consolidation in the estimated $160-billion-a-year highly fragmented mom and pop jewelry industry. Founder Berge Abajian started the company in the mid-1990s, and in 2002, created the Bergio Bridal Collection, one of the top five sellers in the bridal jewelry lines in the industry.
The company currently sells its jewelry to approximately 150 independent jewelry retailers across the United States. BRGO has manufacturing control over its line as a result of having a manufacturing facility in New Jersey as well as subcontracts with facilities in the United States and Italy. BRGO is known for elegant designs manufactured in Italy "executed with masterful craftsmanship", according to company literature.
Finding customers in the Saudis proved one accomplishment; in February, it was announced that BRGO would be exhibiting at one of Russia’s largest jewelry shows in September. By expanding into Russia, BRGO has the opportunity to establish itself in a market other than the U.S. The Russian jewelry market is a $4.3-billion industry and the alliance with local dealers will give the company access to as many as 8,500 retailers.
The last few months have not been kind to the stock price of BRGO. Since peaking for the last 52 weeks at 93 cents in November, shares have taken something of a tumble, although nothing like the dungeon of less than a cent the stock price saw last September.
The news that the company had penetrated the Saudi market sent the stock price up a bit, to around the four-cent level, based on volume surpassing a million shares. As more and more markets are attracted to the BRGO fold, investors would be wise to keep this company on their watch lists.
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