Mike, stop all this talk of a takeover, you're making me nervous. Under no circumstances, except possibly an offer many multiples of today's share price (like 10 times although this wouldn't happen,) would I want this company taken over. It has too much going for it.
I believe that the contributors to this forum have read this announcement all wrong.
Jamie said that had RQL acquired DSA at the start of the year, not the middle, the start, then the revenues from the contract with FMG would have contributed around 8% of the group's revenues (RQL combined with DSA.) As they were acquired on February 25th this percentage would be reduced significantly.
Nowhere was it mentioned how much it (FMG's contract with DSA) would contribute to further group revenue. It is very possible that the bulk of the work has been done already and that maintenance work or any periphery work which needs to be done in the future could be done by another contractor as part of a complete package associated with other services thus contributing a much less percentage of future group revenues.
Regardless, it is as shame it happened although it is positive that personnel and equipment is being immediately redeployed to other sites and will not stand by idle.
RQL Price at posting:
57.0¢ Sentiment: Buy Disclosure: Held
