Why would you take up the offer?
After the offer around 500M shares will be on issue.
The merger will bring a EBITA of (just under) $1M to VSG, there is a small income stream visible from the Funhaler for the next few years and still considerable outlays.
Lets say the Funhaler gets EBITA of another $1M next year. That is $2M against $30M of debt and 500M shares.
Where is the upside?