Somebody may want to inform Sterling that a partnership does not make a company a subsidiary where financials are somehow combined.
The PR on this 'partnership' was a 20% stock swap I did not read anywhere where HAWK would take out all of the financial risks (equity line, etc..) and acquire 100% of these companies just to hand them over to GLER and receive 20% back thru possible share value increases. If GLER was to own these assets, wouldn't THEY be the acquiring company and wouldn't THEY get the equity line?
First Sterling, you have the wrong HAWK Manufacturing.
Second, you confuse partnership with subsidiary. There would be no reason for HAWK to give GLER 100% for 20% back in return when they can have 100% and give GLER 20% in return under the partnership agreement.
Third, HAWK is negotiating incentives at the state and local level that could total more than $17 million in tax incentives and other benefits. They are doing this under their corporate status not GLER's.
Finally, Your valuation seems to consider that HAWK gets nothing out of this? They have a set of private investors theoretically who own 80% of their business. Wouldn't GLER have to pay them something annually for the 20% stake they have in GLER? You can't think that HAWK is giving GLER all their revenues and GLER is allowing HAWK to simply hold on to their shares as value.
This valuation is pure fiction and can not be considered as anything other than that.