Ann: Acquisition of XINN and successful institutional placement, page-9

I don’t know how this is going to play out but I would add;
- MRR chien was 87% do structurally you are essentially starting at 20.5-21m ARR into FY20 (even if another 2% improvement)
- the upside is going to be structurally capped- there is a consistent pattern of behavior for jumping to raise at the first hint of share price appreciation- in the very long run this dilutes returns on average
- it is unclear what the STI/LTI targets are, if they are based on growth that can be met with M&A I would be highly suspicious on the strategy
- A huge portion of the deferred earnout is going to 2 executives. This makes me highly suspicious on the nature of the deal.

anyway I certainly don’t know how this will play out, but as an owner I am clearly not aligned with managements strategy and the best outcome is for me to sell in this situation.