RE:RE:RE:RE:RE:RE:RE:RE:RE:News coming It's called an earn out. Ausa owns passport forever now. This is what the robin hood trading environment has created millennials wirh $3,000 invested and they think it should go to $300k over night. Those days were 5-6 years ago. Now you need to pick stocks, look under the hood, talk to Management m, understand the product etc etc, if you don't understand the concept of an earn out, don't quit you day job at Arby's
quote=Purplekush]Wow so 2m goes to Passport if rev reach 7m, an additional 2m if rev reach 8m? Like wtf is that?
There's also a break fee of $2.5m cash. Which means Passport gets $2.5m cash if the acquisition falls through. Passport wins no matter how you cut it. And Scott just stepped down as Ceo of Ausa because the money is in Passport.
I'm voting against the acquisition unless they negotiate better terms. Can't justify giving 2m on a 7m rev. I thought buying out Passport means Ausa gets to keep all rev generated? [/quote]