I wouldnt say its a steal.assuming the deal is approved, DCF...

I wouldnt say its a steal.
assuming the deal is approved, DCF applied to the 1.08 capital return is more like 1.02.

so you're paying 53c for the rest of the business assuming close of 1.55.

53c on a fully diluted SOI around 325m is 172m.

the cash they retain once all said and done is a guess still but gven their capital light comment , i assume 30m.

so 142m for Aus and Canada.

its a good price, if you consider they rejected , apparently , 220m.

Canada is worth zero. Its loss making and they said they wouldnt be profitsble as a group for another 12 to 18 months.

so Canada, like the US business was , will continue to suck profitable cash out of the company.

who knows if Canada will ever contribute + ebitda

buying now certainly gives you some upside on Australian business success and possible buyout.

However , the upside is now severely capped as it doesn't come with the same upside as what the US was meant to.

all these mgt people have done is stop the bleeding and put a floor in , saved shareholders from most likely getting zero back on the stock in 12 months time vs ~1.10 now.

The fools can't even turn a NPAT on 200mil revenue how were they ever meant to make the US work ???