The acquisition of Avcom has good upside potential if one considers the expected growth in the social casino market. In addition to this, the company is also actively attempting to leverage the growth story in the online / mobile gaming and the fantasy sports segment. The FanTD and Hammercat Studios businesses have good growth prospects. These three businesses will shape the long term future of the company. It is imperative for the management to continue its efforts so that the operations begin to yield cash inflow and tangible results. The Avcom acquisition was financed with shares, and future payments, based on achievement of certain revenue metrics, will again be made in terms of shares. In an article on seekingalpha, the acquisition was valued at around $1.5 million upfront considering the value of 491,000 shares initial payment, and around $1 million earned-out payments over 18 months (330,000 shares). There will be no immediate pressure on the cash flow, and it makes the sellers stakeholders and partners in future success. Avcom, which will become part of MGT Studios after the acquisition is complete, will be interested in the success of the venture so that the earned-out becomes payable. The company has got access to the talent of Avcom, including its lead artist. Avcom's founder, Jeremy Avin, will become GM of MGT Studios to manage the online and mobile gaming part. This segment has seen large acquisitions like IGT's (IGT) purchase of DoubleDown Interactive for $500 million and Caesars' (CZR) purchase of Playtika for more than $100 million. The SA article mentions that casino companies and investors have put in more than $2.2 billion into acquisitions of social casino games companies in the past year or so. It may take time for these businesses to grow and develop into major contributors for MGT, but it is good that the company has entered into these high potential segments without parting with too much cash.