Breaking It DownThe new ceo had purchased 147 mm shares to take control of Digi leading up to SPTZ deal.
Digi purchased SPTZ for 250mm shares at the time shares traded averag .04c/sh undiluted that cost the company $10mm, fully diluted with finder fee share give away and warrants questimate total all in $13mm fully diluted.
Now what is the average cost to develope an app? Per google:
Many factors influence the price, depending on the complexity of the app development, at 40$ per hour, the average cost will be: Simple App Development Cost – $40,000 to $60,000. Average App Development Cost – $60,000 to $150,000. Complex App Development Cost – from $300,000.
Let's go with this app cost $100K, the company probably, possibly, likely overpaid by a factor of 130 times.