check the terms of the debt raised to finance this thing and it...

check the terms of the debt raised to finance this thing and it will temper your optimism, bigly. the co claims they will only be 2.2x net levered pro forma (ie, not much), but they are paying 10% cash interest + 5% PIK interest + 3% upfront fee + 7.5% of post-raise fully diluted equity in FREE warrants (prob $3mm of net value here alone) + giving full security over the business + a cashflow sweep + covenants based on churn (interesting to say the least). you may also wonder why this business wasn't acquired at a higher headline price by any else other than this tiny small-cap co with clearly limited financial resources.

i only just found out about this, happy to be proven wrong, but the funding terms on the debt alone - around 23% total cost of debt - should give you significant pause. would def not chase this rally until the equity deal prices, at a minimum.