Hi Daics,It looks to be a good acquisition to me, improving the...

Hi Daics,

It looks to be a good acquisition to me, improving the Zetron suite of civil comms products, taking out a competitor (?) in the UK and incrementally investing into a growing market segment without issuing more shares.

If they manage to reach the forecast 3x EBITDA in 2025 on today's acquisition price of A$22m ($7.3m; as you state) it would certainly prove to be an excellent investment, however that implies a 2 year CAGR of 56% which is a big ask.

I found the footnote at the bottom of page 1 interesting; "The UK Home Office is leading a project to deliver a new critical communications system to replace the current airwave services in Great Britain. The objective of the ESN project is to enable fast, safe and secure voice, video and data across the 4G network for use by first responders." Sounds like a huge opportunity for Zetron and CDA...