SKG are buying a business which they report will nett...

SKG are buying a business which they report will nett $2m............for $42.5 million

Twenty times earnings.....

to do this......they must pay $8 million in cash

SKG do NOT have $8 million in cash

and $20 m which is to be raised through a share placement.

now....where is the $8 million?

Is it from Cornells?

another loan at 18%?

then $20 million through a placement......at what price?

40?

so 50 million shares will be issued at 40c?

just to pay Orion $28 million to get maybe $2m per annum?

On top of this SKG will sell its W home business

so what income stream will SKG have to add to the new entity?

or will SKG's existing businesses create losses against the expected positive revenues from Epay Malaysia

which SKG are acquiring 60% of....NOT 100%.

and NOT the controlling interest in it either.

This deal looks positively dodgy.

but....shareholder still get to vote against it.

I doubt this somehow.

and at what price will the placement be done..........

40c........30c