The way I see it (with the acquisition at least) is that they're...

The way I see it (with the acquisition at least) is that they're buying a $40m receivables book with debt, the run off of this could be funneled back to repay debt with them keeping the margin. So unless they've bought a dog of a receivables book their debt should start reducing as this cash rolls in.

Their debt/equity is still modest compared to FXL, SIV etc. Not saying that higher debt is good, just saying it could be a reasonable way to boost returns through increasing leverage to buy quality assets. They equity funded the NCML acquisition and that has been a drag on returns for 3 years now.