big acquisition for ckl, page-2

Yes, good to see CKL finally get some investor attention.

Could be a real company transformation, although the market graveyard is littered with the headstones of companies that didn't pull off the "big one". Suspect $5m is not far off the NTA of assets acquired. $2m EBITDA probably doesn't cover the depreciation expense, let alone the cost of working capital. So "synergies" will be crucial.

However, it's a conservative price for growth by a management that has enough skin in the game to make a sensible call, so I doubt I'll be able to resist sitting through the inevitable period of indigestion until the outcomes are more visible.

Risk just went up, along with potential returns.