I like these Gordon capital reports ? very well written compared...

I like these Gordon capital reports ? very well written compared to some others you see.

I had $1.2m FY11 EBITDA - they must be expecting a big Q4.

Everything is going swell ah. A big thing to keep in mind with Paragon and its acquisition strategy compared to others who do this is that Paragon not only gets the benefits of scale or from acquiring at a discount.

Every acquisition creates a better portfolio of products, allowing a wider or larger product offering to new and existing clients. This is especially favourable to the larger clients who don?t want to have 15 different suppliers.

Paragon?s corporate strategy and corporate structure is interesting going forward.

As it stands they probably don?t want all these options anymore, the company is now in a safe enough state to be leveraged with debt.

PGC could take on more debt (not pay down the exsisting) soon, allowing more acquisitions now with the intent of paying the debt of with the options hit. Or take it safer and wait for the options money to come in and acquire more from that point.

The further option would benefit the SP in the short term, however with the quality of PGC?s buying and management I would be happy for them to carry on being aggressive in their acquisitions.