They have $100 million cash, so this is valuing the entire...

They have $100 million cash, so this is valuing the entire project at $100 million?


It's not goodwill that is being priced - it's expectation that SYR will ramp up and what price it will be able to sell its commodities for. Goodwill would assume they mgiht sell their commodity for a higher price, i.e. due to their reliability or relationships with purchasers.

Instead, there is a very large discount that is being applied for uncertainty, and an assumption their product is being sold for less than market.

Market value of SYR if it achieves its goals would probably be $2bn+ (based on what analysts have calculated using DCFs). Subtract the expected costs to get there. Since there are a lot of risks (and delays) to getting there, apply a discount. What is a reasonable discount is up to the market and investors.

It's all risk and reward. Do you want to get in on a potential 4-bagger if they accomplish their goals? Even if this only is to occur in 4 years - clearly that's a pretty decent investment, no?

That's not to say it couldn't fall further. I think there are risks, and I'm not sure they are fully priced in *though I hope so as I did buy in at $2+*. I just disagree when you suggest there is goodwill being factored, and to the $200 million comment... sheesh