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FormerXBC Inc XEBEQ

Xebec Adsorption Inc designs, engineers, and manufactures products that are used for purification, separation, dehydration, and filtration equipment for gases and compressed air. The company operates in three reportable segments: Systems, Corporate and other, and Support. Its product lines are natural gas dryers for natural gas refueling stations, compressed gas filtration, biogas purification, associated gas, engineering services, and air dryers. The company's geographical segments are United States, Canada, China, Other, Korea, Italy, and France.


GREY:XEBEQ - Post by User

Comment by ZouZS3on Feb 27, 2021 10:08am
199 Views
Post# 32678565

RE:Monday

RE:Monday
tamaracktop wrote:    Recently I pointed out that until now, every one of Xebec's acquisitions was announced on the last day of the month. The closing of Inmatec was announced last Monday, which is a departure from the norm.
   Remember this excerpt from the December report from TD:


The aggregate purchase price for the LOI Acquisitions (excluding closing costs) is anticipated to be between $35 million and $60 million. As of the date hereof, the parties are in advanced stages of negotiation and it is anticipated that the definitive purchase agreements with respect to the LOI Acquisitions are likely to be executed by the parties in the near term.

   I think Xebec announced Inmatec early so the announcement of the second LOI's completion could be announced separately, rather than being diluted if they had announced the two jointly. 
   I think they announced Inmatec last Monday so they can announce the second acquisition next Monday, the last day of the month.
   If TD is right, and if the next acquisition is in the $25 million range, and if it is roughly in line with multiples of previous acquisitions, then this acquisition should add $35-$45 million to revenues.
   TD hasn't incorporated that $35-$45 million into its current revenue projections.
   There's a very good chance we'll see this news on Monday.
   That would explain the volume today.
   The probability is high.
    





I just hope you are right T
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