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indyjonesohio

08/06/13 11:14 AM

#147064 RE: runandadd #147063

This is an important point, Run. We are mostly watching the LTASCorp pipeline that WSGI purchased playing out. There are "earn outs" involved as I recall, as there should be IMO. The two BiB's were actual WSGI sales apparently. I am unclear on the Eglin sale although WSGI may have been previously active there. Still, this is part of the wisdom of acquisition. When you look at the US Technik website it is clear they are trying to sell mast systems and various aerostats, including BiB.

You do a sell/acquisition like this in order to increase capacity and utilize synergies. The key will be to watch for the new sales and , hopefully, increased sales of LTAS Corp products. The sales cycle on all of these are about a year IMO. So, I would watch for new sales of the BiB and LTASCorp products as indicators. As you point out, what we are seeing now is the wisdom of acquiring an existing sales pipeline. We are waiting to see the wisdom of acquiring a new product line and the fabricator of one of your flagship products (BiB). But it is now a more complex matrix to monitor IMO. That complication is probably an improvement IMO. Great observation. Best wishes, IJO