Ann: Acquisition of Multi-Wet, page-18

At the risk of being another monkey throwing bananas, I like to speculate as it helps me to sound out ideas and I like reading others thoughts on this.

I had been expecting an acquisition which provided a customer base PWN could leverage. My (admittedly lay) take is though, that Multi-Wet's current customers are unlikely to be what PWN are looking for, even if it does bring early revenues. What is more likely is prospective PWN customers have told PWN that they don't have the expert technicians required to support a contract. Yes, with the BPaaS the plants would be built and maintained by the mine staff, with licencing from PWN, however mines are unlikely to have such specialised technicians that may be required from time to time (because they are only needed from time to time so not worth the investment). For these occasions PWN would need to provide assurances that they can support the solution. This is similar to how IT Services companies operate, providing engineers most things but relying on software providers if things get too tricky.

I had thought that PWN may have these from developing the technology, however these could be more research staff rather than operational technicians.

To go out and hire a team before you even have a contract is expensive and risky. However, if you go and buy a group of technicians that are already employed and bring that revenue and work with them then you have capex not opex and it is limited to the cost of acquisition. That purchased workforce can pay for themselves until they are needed on larger contracts and the time between now and then can be spent training and retooling as required. So yes, agreed I think this announcement does narrow done the first potential client location.

The acquisition itself is not exciting, however how close it indicates we are (IMO) to contracts is.

All IMO, please DYOR and GLTAH. Sentiment is unknown until the DT fad subsides, could be lower entry on this annoucement, maybe not.