Ann: Change in substantial holding, page-6

Hi Patient,

I have begun to look at it.

My thoughts so far :
- I do not get yet why this company has not been as steady as expected initially,
- their last quarterly cash flow was really good, with a cash flow from operation of 6.7 m$ to compare with 4.9 m$ for the past 12 months.
Annualised, it corresponds to a free cash flow yield of 30 %.
We need more explanations about this cash flow : due to recent acquisitions ? normal seasonality ?
- they seem to be aggressive on acquisitions, financed by taking large amount of debt (at high interest rates, cf NZ acquisition) and increasing capital (at a large discount).
Their last 2 acquisitions (in Vic and NZ) have been done at 3 x EBITDA, while Avada is now valued at 5.2 x EBITDA.