My hunch is that there is another acquisition imminent, and...

My hunch is that there is another acquisition imminent, and there may be an update at the same time. The missing link in performance marketing for MBE is North America, as entry would build out their network geographically to better cater for multinational clients.

I fail to see why a $13m capital raising was undertaken on top of the $5m bank debt raised in FY2016 in order to meet the $5.7m of current deferred consideration and expansion of the DCB as outlined at the time of the placement. It doesn't add up; with almost $20m in cash post the SPP and another $5m of free cash flow in FY2017 there is more cash than is needed to meet current commitments.

I always remind myself in times like these that the intrinsic value of a business changes much more slowly than the market value of the business. So while the market capitalisation of MBE may have fallen $30m since they reported earnings, the earnings power and intrinsic value of the businesses will not have changed to that degree, even if the UK businesses have slowed since Brexit. Hence opportunity.

The company stated in July that they expect all performance marketing businesses acquired in the last 18 months to grow by at least 30% per annum. And they expect to make the requisite earn out payments. That's what I use as my guidance of business performance, not what is happening to the share price.