Yes, the dillution will be ok considering they are purchasing an income stream and base business that looks very good on the surface. Let's say, 70% of 10M = $7M @ $0.20 = ~35,000,000 new shares = 23% dillution.
I understand sellers are ostensibly committed and that may be the case. Only point is that things change, which can create share overhang and earn outs need to be assessed as they arise.
As you say, a prospective industry to be in and if mgmt can leverage their industry contacts then we should be sitting pretty by this time next year.
TPP Price at posting:
17.0¢ Sentiment: LT Buy Disclosure: Held