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Re: Felo31 post# 90845

Sunday, 01/14/2018 10:46:28 AM

Sunday, January 14, 2018 10:46:28 AM

Post# of 346662
The most important best practice with acquisitions is only acquiring companies that add to the synergy of the whole. Just because a company has huge potential does not mean it's a good match for a parent company. Attempting to acquire as many money making companies to "build an empire" is one of the biggest reasons so many acquisitions fail. The reason Natural Stuff was acquired and is such a valuable addition to both Snakes and Gro is because it expands and strengthens our distribution side of the business while also adding a new product line. It's synergy.

The spin off is both brilliant and necessary. IK is no longer adding to our company aside from revenues. And it might actually be a distraction from all the big stuff happening with our other subs. They can continue to be profitable and successful on their own and start acquiring their own companies and building their own synergies. Speculation about risk is inaccurate. This company is trying to reduce risk.