Former Compac shareholders to get $230m in earn-outs
Tomra executives bought Compac in a distressed state. The company was making losses caused by a lack of cashflow owing to over-extension in some parts of its fast-growing business, in spite of $152 million of revenue in the most recent financial year, ended June.
Tomra chief financial officer Espen Gunderson told the briefing the $230 million in potential earn-outs will be based on financial performance through to the end of Tomra's financial year in August 2019, capped at accumulated earnings before interest and tax of $84 million over the three-year period.
source: nbr.co.nz
