RE:can someone explain the purchase price/mechanism?monty613 wrote: the way I'm reading this they bought the assets of a company which generates $7.3MM in Revenues and double digit EBITDA margins for $1.6MM plus a $240K holdback
and the Vendor needs to use any cash paid as part of the deal to buy WELL shares on the open market?! am I understanding that correctly?
Transaction Details:
Pursuant to the asset purchase agreement, WELL will pay the following consideration: (i) $1,609,195 payable in cash, shares or a combination of cash and shares at WELL's sole discretion upon closing of the Transaction, subject to customary closing and post-closing adjustments; and (ii) a 120-day general holdback ("Holdback Period") amount of $240,375 payable in cash, shares or a combination of cash and shares at WELL's sole discretion. The Transaction is conditional to INLIV's sole shareholder, Coril Holdings Ltd., a privately owned family enterprise with 124-year history operating businesses in a diverse set of industries to purchase WELL's shares to the extent the Transaction comprises of any cash consideration after closing of the Transaction and end of the Holdback Period on the open market over the respective proceeding 15 business day period subject to certain restrictions. The Transaction is expected to close in Q3-2022.
Not sure if this shedes an light but it appears similar and is somewhat related.
https://www.theglobeandmail.com/business/article-albertas-billionaire-mannix-family-picks-up-stake-in-fast-growing/