I am also wary of growth by acquisition due to the messy past,...

I am also wary of growth by acquisition due to the messy past, but AFL was never going to be a company that focuses on organic growth given the CEOs performance rights hurdles.

Given AFLs recent reporting I'm taking the stance that while this first acquisition since their 'management refresh' seems sudden I doubt it is reckless.

Obviously there are risks involved, and if it wasn't an attractive deal for GTC then they wouldn't be going ahead with it.

With the information available the pay off appears to be at a cost of a 3m raise the forecast is a FY25 rev increase (from doubled HY24 numbers) of around 15% and a NPBT increase of 40%.

A 1/4 dilution means NPBT would need to be a 25% increase to not reduce EPS.

To me the deal appears to be EPS positive which is what CM is incentivised to do.

Keen to hear if I've messed something up.