Ann: Market Update, page-5

They could have resumed trading tomorrow and given us a little more time to digest what is likely to be a very transformation acquisition.

A few thoughts in the meantime:
- EBITDA for 12 months to 31 Dec 16 was US$30.5m and for 12 months to 30 Jun 17 was 12.7m, so CY17H1 was down 17.8m on CY16H1 (off a cliff!)
- price of US$68m for 70% means 97m for 100%
- low EBITDA multiple on US$30.5m and reasonable, if not a high, multiple on 12.7m
- it is interesting they would use A$0.40 as an indicative figure, because the market currently disagrees with that assessment with trading at half that level today; if the Board and management turn out to buyers of large quantities in the coming weeks I'll give this more credence; the problem is any prospective buyer could purchase on the market and there appears to be plenty of volume available; it would not reflect well on management and Board if they end up raising capital substantially lower than their reference price

All that said, this felt rather hopeless a few weeks ago, but there is hope now. The latter is a strategy I'm increasingly relying on with this one.