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  "documentTitle": "Generac Holdings, Inc. (GNRC)",
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  "authorName": "Ben Axler",
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  "presentationDate": "2022-06-22 00:00:00",
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  "notes": "The slide uses a red arrow on the left to visually connect the two case studies as part of a broader critique of M&A strategy.",
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      "kind": "callout",
      "text": "What Generac Hasn't Told Investors About The Acquisitions of Deep Sea Electronics And Enbala Power Systems",
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      "kind": "callout",
      "text": "Highly Shady Acquisition of Off Grid Energy UK (Made Through Pramac / Italy)",
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      "kind": "callout",
      "text": "Spruce Point finds it incredibly suspicious that Off Grid's sister company and customer subsequently impaired assets in an amount similar to the receivables it was owed.",
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      "text": "Generac's acquisition press release of Deep Sea Electronics fails to address that it acquired the business from Caledonia Investments... The business was sold for £162 million ($213.1 million). Generac's press release also failed to disclose it paid $420.7 million.",
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      "text": "Off Grid Energy Ltd. was acquired on Sept 1, 2021. Generac's corporate press release obscured the fact that its Pramac (Italy) business... was the end acquiror. Generac's SEC filings show the deal price fell 30%. Upfront cash declined from $32.5m to $24.4m.",
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      "text": "Generac's acquisition of Enbala Power Networks in October 2020 also has the flavor of a failed, but highly promoted investment... Enbala has raised at least $55 million in capital since 2010, yet was acquired by Generac for just $41.9 million.",
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      "kind": "title",
      "text": "Shady Acquisitions Where We Believe Generac Overpays For No Growth, Or Companies With Failed Growth Aspirations",
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