CELM -bingo! They said they were after a couple of acquisitions that would be add to earnings but, importantly, get them into new verticals.
Looks like they paid in cash (see below) - Rev $7.4 M and NI $1.47 (assuming Yuan to $ is 6.8). So P/E 5? $7M is basically the cash flow of Q4 assuming they hit their numbers. Marvelous a new vertical for the price of a quarters cash flow and adding on I assume $1.4M NI to a company doing 17 - 20NI in 2010.
The Parties agree that the Consideration contemplated hereunder shall be paid in three installments:
(A) First Installment: RMB 5,000,000 (“First Installment Consideration” or “Deposit”), which shall be paid to the bank account designated by the Seller within 10 business days after the Execution Date;
(B) Second Installment: RMB 41,322,100 (“Second Installment Consideration”), which shall be paid to the bank account designated by the Seller within 3 months after the Closing Date;
(C) Third Installment: RMB 3,000,000 (“Third Installment Consideration”), which shall be paid to the bank account designated by the Seller within 7 business days in accordance with Section 10 below after all the conditions prescribed in Article 13 have been consummated or waived in written by the Controller or the Purchaser.
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