"As mentioned, Isity Global has a strong pipeline we will be leveraging. Sales gross profit for FY 17 to 19 are strong based on our Due Diligence to date, and will now be subject to formal Independent Experts Review as per ASX requirements.
The first China Project will generate revenue of $20 million per year over a 20-year contract, and I am excited to report that negotiations have been completed for this project and a formal signing ceremony has been scheduled."
Even with a profit margin at 25% on this first contract is equivalent to KKL's current MC after just 1 year. JMHO.
And combined with this:
"We have designed a transaction that we believe is in the best interests of all shareholders and while dilution will occur because of Isity Global meeting their performance targets, they will create significant uplift in shareholder value. Again, Isity does not get additional shares after year 1 unless they meet specific revenue and profitability targets."
KKL Price at posting:
0.5¢ Sentiment: Hold Disclosure: Held
