@GARPdude Think about I’ve 1 share of inventory representing 100% possession of an organization that owns a home. And I challenge one other share and provides it you, however you add your own home (the one subsequent door to mine, they’re precisely the identical) to the corporate, then there’s “dilution”, however my 1 share of inventory nonetheless represents possession of mainly “one home”.”Dilution of possession” is the dangerous factor that occurs when corporations challenge new shares to boost money, after which burn the money with out that being accretive, and so the shares you already had lose worth. Swapping new shares for one thing accretive mustn’t trigger the worth of the present shares to go down. Should you assume when it comes to enterprise worth, issuing shares for money does not trigger the enterprise worth to vary in any respect.So an important questions listed here are, what multiples is Invoice paying for Melio? Is Melio rising quicker than Invoice? Is Melio worthwhile, or in money burn mode? What are the synergies? And so forth.
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