Lares Capital
Hedge fund manager, small-cap, long/short equity

Perion And Conduit: Match Made In Heaven?

Perion (NASDAQ:PERI) shareholders had a rude awakening Monday morning: their stock made pre-market "top losers" list after Perion announced a merger with a much larger Conduit Connect, a spin-off of Conduit software - the largest Israeli software company. For every share, Perion would issue another four to the Conduit shareholders. For all purposes, Perion business has become Conduit business as the latter has four time as much revenue. It's clear that the market participants did not like some things about the merger, pushing the price down by over 10%. However, a lack of synergies is not one of them as this article will show.

I am writing a much more detailed article about the financial aspects of the...

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