{
  "docId": "019dd923-622c-750b-8b99-58801594b94c",
  "docSlug": "9551be67f14d",
  "documentTitle": "Perion Network Ltd. (PERI)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Spruce Point Capital Management",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2023-05-23 00:00:00",
  "orientation": "landscape",
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  "pageNumber": 116,
  "pageCount": 127,
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  "nextPage": 117,
  "slideType": "expose_contradiction",
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  "density": "dense",
  "nDataPoints": 8,
  "notes": "The slide uses a red highlight to draw attention to the initial earn-out value and a yellow callout box to highlight the contradiction in the 2021 fair value.",
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  "slideHref": "/slides/019dd923-622c-750b-8b99-58801594b94c/116",
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      "kind": "callout",
      "text": "Why did this decline when performance was stellar?",
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      "text": "Given Vidazoo’s spectacular outperformance in 2022, why did the earn-out liability not materially increase towards the maximum amount? Instead, it moderately declined from $48.9m to $32.6m. This may suggest that PERI sandbagged expectations when providing guidance to investors.",
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      "text": "Earn-out liability: $32.6m",
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      "text": "Given Vidazoo's spectacular outperformance in 2022, why did the earn-out liability not materially increase towards the maximum amount? Instead, it moderately declined from $48.9m to $32.6m. This may suggest that PERI sandbagged expectations when providing guidance to investors.",
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      "kind": "source-note",
      "text": "Perion 20-F Reports. (1) Between 20-F reports, PERI revised its disclosure... (2) In Q1'23, PERI disclosed a $13.3m contingent acquisition payment...",
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      "kind": "table",
      "text": "Vidazoo Earn-out Liability table showing $mm, Earn-out Period, Max Earn-out, Initial Earn-out Value, Fair Value At Date (2020-Q1 2023), and Change In Value.",
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      "kind": "title",
      "text": "If Vidazoo Performed So Spectacularly, Why Did The Earn-Out Liability Decline And Not Increase?",
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      "evidence": "The slide explicitly questions the legitimacy of financial reporting regarding earn-out liabilities to suggest manipulation.",
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      "arcName": "Overcoming the Monster",
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      "beatName": "Expose Contradiction",
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      "evidence": "The deck spends most of its pages exposing contradictions and inconsistencies in PERI's financials, partnerships, and growth story.",
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      "name": "Logic Chain",
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      "evidence": "The deck presents a series of logical and coherent arguments to build a case against PERI.",
      "position": 0,
      "objective": "To present a logical chain of evidence and reasoning to support the conclusion of significant downside risk to PERI's share price.",
      "structure": "Premise 1 (Accepted truth) -> Premise 2 (Observed fact) -> Therefore... (Inevitable conclusion)",
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