Blavod Extreme Spirits Plc, the creators of black vodka, could be up for sale after receiving and signing a letter of intent from an unidentified Nasdaq-listed company. 

The potential deal values the company at £12.87m and is an all-share offer subject to certain pre-conditions. Blavod have stated that the agreement “may or may not lead to an offer being made for the company”.

Blavod Extreme Spirits has operations in the UK and the US, and distributes its signature black vodka alongside a number of other alcoholic beverages, including the Players Extreme flavoured vodkas and rums. The company was formed in 2003 when Blavod Black Vodka Plc of London merged with the Extreme Beverage Company.

Results for the year ended 31 March 2006 showed an increase in turnover by 72% to £5.4m with gross margins of 31.2%. The company recorded an operating loss of £2.5m, compared to £4.1m the previous year.