I've been trying to figure out how TCLL could actually purchase NJ2, a company that reportedly does 18M net profit annually.
I can't imagine a deal where a company that does 18M net could possibly be bought for anything less than 10 times net, or 180M. Does TCLL have access to that kind of cash? If not, would this have to be done with stock? If stock is the option, I have a hard time seeing the NJ2 people willing to be bought out with 180M worth of TCLL stock, which would be what, about 600M shares? That would be rather illiquid, wouldn't it?
Can anyone here help shed light on how this deal can be pulled off?
Thanks...
