RE:RE:RE:RE:RE:RE:D9 Financial Call today John said ebitda accretive so that is all I need to know for now about whether this was a good deal. DN just locked-in their debt costs at super low rates so I am not concerned with market rates rising.
Pod sales appear to have fallen off the map so revenues over the last handful of quarters include no big lumps of revenues that pods can bring. I really won't care if they dropped that part of the business anyway. It had great margins but the work orders are too inconsistent.
When M&A occurs in a nascent struggling over-poppulated industry you want to be with the consolidator vs the consolidated. That comes at a cost but John is acting prudently, picking through the rubble for bargains on a few sustainable businesses that got caught up in the valuation downdraft.
BTW, on company performance vis-a-vis costs of production...what matters is cost per gram. Again I see very responsible maangement. John said that their cost per gram dropped from $0.65 per gram at last report to now $0.58 per gram. That is a massive margin improvement that should dramatically improve cash flow.
Anyway I could go on and on but I think I have more than clarified my position that Delta 9 has a very bright future.