Investment Thesis Follow Up
The investment thesis described on my last Top Idea article remains intact with Q3'18 Startek/Aegis combined results confirming a number of points:
- Zero merger overlap resulting in the integration progressing ahead of schedule and in the implementation $12.5m in annualized cost savings; all of this within the first 4 months after combination.
- Elimination of revenue concentration risk. Not one client reached the 10% of revenue threshold as per the Q3'18 Form 10Q filed on 11/09/18. Startek (NYSE: SRT) now serves over 250 clients across 13 countries in over 40