Great work neoteric! having had a closer look at the announcement re divesting the fastener business, it makes sense now that they have a non-current receivable of 6.225, which is probably the discounted present value of the 6.75 to be received in tranche 2&3. I'm guessing the 5mil non-current provision has to do with whether these earn-out will be achieved. what do you think? meaning there is a possibility that not the whole amounts are 100% sure to be received.
for me, the uncertainty / negative: 1. underlying business not showing much growth as pointed out here already
2. the spectrum business sounds pretty steady, but there is still the possibility of under-performing the prospect presented by the vendor
3. the fastener earn-out turns out not achieved --> AKG did not disclose whether it's an earn-out, but if the provision was indeed for that, then the money is not exactly in the bank yet.
at the current price, with all these uncertainty and the lazy reporting style, I'll keep it on watch list. in case of further pricing weakness, I might jump in...
AKG Price at posting:
$1.33 Sentiment: None Disclosure: Not Held
