stressed seller, page-11

oriol,

yes, i have looked at PGA now that the balance sheet has been recapitalised and the debt become more managable.

on my rudimentary caluclaitons the stock is trading on an EV/EBITDA multiple of around 4.7x
* EV = $290m, which includes current market cap of $130m, NIBD of $120m (after receipt of $88m due in the current half from the sale of the digital assets to SLM), and half of the $40m of deferred considerations payable over the next four years]
* Annualised EBITDA = $65m (post sale of digital businesses)

prima facie the stock looks cheap but i still want to do some work on it; the trouble i have is that i have no idea how the rump of the business will perform going forward.

still, i think it is worth doing some further research which i intend to do after reporting season

Cam