GREY:XEBEQ - Post by User
Post by
GGreenon Dec 09, 2020 8:39am
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Post# 32065773
Two thumbs up!
Two thumbs up! When there was talk a couple of weeks ago about a private placement my first thoughts were: WHY? why more dilution when you have a solid cash position and haven't yet gotten a lift after expected uplisting (as a result of some institutional (with ESG $s) investors being able to buy in after the move to the TSX)... why not just get non-dilutive debt to finance the upcoming acquisitions.
BUT after an initial look at how this all fits together and the plan forward all I can say is WOW! Totally supportive of the structure and the equity financing. Not just for this acquisition but the next 2 as well. Huge leap forward with the footprint and traction in Europe, highly accretive from day 1 but will really drive positive results starting in Q1 and should really help with GM%, EDITDA and operating income growth in 2021.
It will be very interesting to see how the stock responds today and in the coming weeks. With who knows perhaps some news on uplisting, revised analyst targets and oh yeah back at the farm.... contract wins.
As an aside, I wouldn't be surprised if GRN also benefits indirectly within positive tailwinds as a result of this.