Ocean Rig UDW Inc. (NASDAQ:ORIG)

Ocean Rig UDW Inc. (NASDAQ:ORIG) Craters after Court Verdict

Ocean Rig UDW Inc. (NASDAQ:ORIG)

Ocean Rig UDW Inc. (NASDAQ:ORIG) shares fell 47.89% after a U.S. bankruptcy court issued an order granting comity and ordering implementation of Cayman Islands Schemes of arrangement in the U.S. The Schemes affect the financial indebtedness of the company and its subsidiaries. Implementation of the schemes will result in the conversion of the firm’s $2.67 billion debt into distributable value.

Ocean Rig UDW Inc. (NASDAQ:ORIG) fell on huge volume after reiterating that the court verdict will not in any way affect its operations. The company also sought to avert a further slide of the stock by reiterating that creditors and vendors will receive their dues as they are not affected by the schemes.

Investors continue to push the stock lower amidst growing concerns over the impact of the ongoing restructuring. The stock is already down by more than 70% for the year as it continues to trade at multi-year lows.

Reverse Stock Split

In what is seen as an attempt by the company to shore up the stock price that continues to trade at all-time lows, Ocean Rig UDW Inc. (NASDAQ:ORIG) has announced a new reverse stock split. The company is to implement a 1-for-9,200 stock split, approved in April.

The reverse stock split is to come into effect on September 21, 2017 and will result in the conversion of 9,200 issued common stock into one share of common stock. No fractional shares will be allowed once the split is complete. Any shareholder with a position of less than 9,200 shares will receive a cash payment.

“As of the date of this press release, the Company had 82,586,851 common shares issued and outstanding. Effecting the reverse stock split will reduce the number of issued and outstanding common shares to approximately 8,976 shares (as may be adjusted due to rounding),” Ocean Rig in a press release.

Extraordinary Shareholder Meeting

Ocean Rig UDW Inc. (NASDAQ:ORIG) has also announced plans to hold an extraordinary shareholders meeting on November 3, 2017. Top on the agenda at the meeting will be discussions on the ongoing restructuring. The company also plans to discuss authorized share capital reduction in addition to redesigning issued and unissued authorized common shares as Class A, which will trade under the symbol ORIG. Class B shares, on the other hand, are to be used to reduce the number of unissued authorized preferred shares.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

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About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Staffing 360 Solutions Inc. (NASDAQ:STAF)

Staffing 360 Solutions Inc. (NASDAQ:STAF) Rallies 48%

Staffing 360 Solutions Inc. (NASDAQ:STAF)

Shares of Staffing 360 Solutions Inc. (NASDAQ:STAF) rallied 48.28% after the company announced a number of transformative developments including the refinancing of its balance sheet. News of two acquisitions also fuelled investor interest.

The stock gapped higher on the news and touched highs of $1.15 a share before it retreated to end Tuesday’s trading session at $0.86 a share. The rally helped reverse a downtrend that had pushed the stock to multi-year lows. It awaits to be seen if the close above the $0.80 mark is the catalyst that will help push the stock to test this year’s highs of $1.30 a share.

Staffing 360 Solutions Inc. (NASDAQ:STAF)
One month STAF stock price chart

Acquisitions

Staffing 360 Solutions Inc. (NASDAQ:STAF) has executed a comprehensive refinancing of a 12% senior note worth $40 million. The $40 million refinancing provides the company with a sufficient financial platform which it plans to use to drive further improvements.

The company has also renegotiated terms of its existing receivable facility of more than $25 million, which comes with lower refinancing cost and increased availability.

The acquisition of CBS Butler Holdings, a UK-based firm specializing in engineering and IT staffing services, is a milestone that underscores the company’s push for new growth opportunities. The group joins Staffing 360 Solutions Inc. (NASDAQ:STAF) with a wealth of management talent and client relationships.

Staffing 360 has also completed material acquisition of FirstPro Georgia, a U.S.-based company offering IT staffing and finance and accounting.

“We believe this refinancing of our balance sheet and simultaneous closing of two acquisitions will help us unlock significant value, especially as we leverage our projected positive operating cash flow from these transactions to drive additional organic and acquisitive growth,” said Brendan Flood, Executive Chairman.

According to the executive chairman, acquisition of the two companies and balance sheet refinancing should vault Staffing 360 Solutions Inc. (NASDAQ:STAF) to a $300 million a year business.

Staffing 360 Solutions Q2 Financials

Separately, Staffing 360 Solutions Inc. (NASDAQ:STAF) reported a 9.1% increase in second quarter revenues that totaled $42.1 million. Gross profit in the quarter remained flat, year-over-year, after coming in at $7.9 million. Net loss in the quarter more than halved to (-$0.6 million compared to $2.6 million generated in Q2 2016.

“During Q2 2017, we continued to improve the quality of our Balance Sheet. In addition to our improvements in efficiencies and Adjusted EBITDA, this has been a significant quarter from a capital raising perspective,” stated David Faiman, Chief Financial Officer.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $STAF and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Helios and Matheson Analytics Inc. (NASDAQ:HMNY) 400,000 Subscribers

Helios and Matheson Analytics Inc. (NASDAQ:HMNY)

Helios and Matheson Analytics Inc. (NASDAQ:HMNY) was a big mover after its acquisition target MoviePass Inc. announced it had surpassed 400,000 paying monthly subscribers over the last 30 days. The stock rallied 39.54% to end last week’s trading session at a high of $3.67 a share.

The stock is currently trading at a key resistance level, above which it could surge to highs of $4.50 a share, levels last seen in June. However, the stock continues to trade in a downtrend in a tight $2.70 – $3.80 trading range.

Helios and Matheson Analytics Inc. (NASDAQ:HMNY)
One month HMNY stock price chart

Renewed investor interest in the stock comes on MoviePass movie theater audience rising from less than 20,000 as of August 14, 2017, to current highs. The two companies attribute the viral subscriber growth to innovative and disruptive technology that has come into play as well as the impact of the new $9.90 monthly subscription plan.

Price Reduction

The company recently slashed the price of its monthly subscription from $30 to $10. MoviePass is confident of acquiring at least 2. 5 million paying subscribers over the next 12 months.

MoviePass’ $10 a month deal has however not gone well with some industry players. AMC Entertainment Holdings Inc. (NYSE:AMC) has already said it plans to block the usage of MoviePass cards in its theaters across the U.S.

It awaits to be seen how AMC will make god on its threat, given that Mastercard powers MoviePass cards, which operate just like any other credit card. Mastercard Inc. (NYSE:MA)’s rules also require all merchants to accept all cards it powers without discrimination.

Targeted advertising

MoviePass is currently using Helios and Matheson Analytics Inc. (NASDAQ:HMNY) analytics resources to analyze consumer parents as part of an effort that that seeks to enhance targeted advertising and concessions based on experiences. The company expects the new technology to transform the movie-going experience in addition to creating value for both companies.

The technology is designed to learn individual movie tastes and in return make recommendations based on recorded preferences.

Helios and Matheson Analytics Inc. (NASDAQ:HMNY) has already started to incorporate advertising models with the MoviePass application in a bid to provide studios with precise data that they can use to attract huge audiences

“Though expensive for the company in the short-term, it’s a significant benefit and more convenient for customers. With MoviePass, there are no movie ticket prices to think about — going to the movies will become an everyday experience rather than an occasional treat,” said MoviePass CEO Mitch Lowe.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

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About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Workhorse Group Inc. (NASDAQ:WKHS)

Workhorse Group Inc. (NASDAQ:WKHS) Plunges Over Stock Dilution Concerns

Workhorse Group Inc. (NASDAQ:WKHS)

Workhorse Group Inc. (NASDAQ:WKHS) felt the wrath of Wall Street after announcing the pricing of a new public offering for its common stock. Shares of the company shed 20.81% amidst growing investor concerns that the offering will further dilute shareholders.

Public Offering

The offering builds on a $24.6 million offering that the company carried out in the second quarter from which it has so far received $20.5 million.

Thursday’s sell-off pushed the stock near its all-time lows as it continues to trade in a $2.75 – $3.52 trading range. Currently, shares of Workhorse Group Inc. (NASDAQ:WKHS) are trading in a downtrend after coming under selling pressure this year. It faces immediate support at the $2.60 level, below which it could drop to the $1.85 mark – its 52-week low.

Workhorse Group Inc. (NASDAQ:WKHS)
One month WKHS stock price chart

The provider of electric mobility solutions intends to sell 3.75 million shares at a price of $3.20 a share. The company has also granted underwriters warrants for the purchase of additional shares at an exercise price of $3.80 a share.

Workhorse Group Inc. (NASDAQ:WKHS) anticipates a total of $11.2 million from the offering after deduction of underwriting discounts among other expenses. The offering should close on or about September 18, 2017.

Powertrain Power Systems Order

Separately, Workhorse Group Inc. (NASDAQ:WKHS) has tabled a purchase order for TM4 Inc.  SUMO powertrain power systems. The order is for the E-GEN battery and E-100 all-electric delivery truck platforms. The new order builds on a 150 systems order delivered last year and expected to fulfill the company’s near term powertrain requirements.

“TM4’s SUMO powertrain systems have demonstrated excellent performance, efficiency, and reliability in our vehicles on the road,” declared Steve Burns, CEO of Workhorse Group. “Our partnership with TM4, a world-class Tier 1 supplier, along with Panasonic and BMW, enables us to produce a reliable, cost-effective solution for fleets at scale.”

Q2 Earnings

Workhorse Group Inc. (NASDAQ:WKHS) reported a net loss of (-$9.2) million or (-$0.26) cents a share for the second quarter. Revenue in the quarter came in at $270,000 as gross margin shrunk to negative ($0.7) million. Cash and cash equivalent as of the end of the quarter stood at $19.7 million which the company plans to use for working capital and inventory purchases.

During the quarter, the truck and drone manufacturer initiated manufacturing and delivery of 200+ delivery vans. The company also inked a strategic partnership for sales and services with Ryder System Inc.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $WKHS and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Inventure Foods Inc (NASDAQ:SNAK)

Inventure Foods Inc (NASDAQ:SNAK) Selling Frozen Food Business To Pay Debt

Inventure Foods Inc (NASDAQ:SNAK)

Shares of Inventure Foods Inc (NASDAQ:SNAK) rallied 27.5% after the specialty food marketer confirmed the signing of a definitive asset purchase agreement for the sale of one of its largest businesses.  The company has signed a deal with the Oregon Potato Company for the sale of its frozen food business. The segment includes Rader Farms and Willamette Valley Fruit.

Inventure Foods Inc (NASDAQ:SNAK)
One month SNAL stock price chart

Investors Reaction

The strategic divestiture should be complete before the end of the month and is expected to generate up to $50 million for Inventure Foods Inc. (NASDAQ:SNAK). In addition, the transaction represents an important step in the company’s ongoing strategic and review process that seeks to grow shareholder value.

Wednesday’s rally helped propel the stock above a key resistance level at the $4 per share mark. Inventure Food’s stock has underperformed the overall food industry after losing more than 50% in market value since the start of the year. The stock is currently trading in a $4.03 – $4.45 trading range.

Debt Settlement

A sell-off of the frozen food business comes at a time when Inventure Foods Inc. (NASDAQ:SNAK) is struggling with a huge debt load, which it needs to refinance if it is to strengthen its financial flexibility.

“This is a significant second step under our strategic and financial business review. We intend to use the proceeds from the transaction to further reduce our debt and improve our overall financial flexibility in order to allow us to focus on continuing to grow our leading snack business as we finalize our strategic review,” said CEO, Terry McDaniel.

Inventure Foods is to use proceeds from the transaction to repay in full its indebtedness under a revolving credit facility with Wells Fargo & Co (NYSE:WFC), among other lenders.

The spin-off of the frozen food business comes after the company posted a net loss of (-$1) million for the second quarter compared to a net income of $61,000 generated a year ago. Consolidated net revenues in the quarter decreased 11.1% to $51.4 million compared to $57.8 million in Q2 2016.

Gross profit increased to $10.1 million from $9.7 million generated a year ago. Inventure Foods Inc. (NASDAQ:SNAK) attributes the increase to a $1. 1 million increase in the snack segment

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $SNAK and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

Forterra Inc. (NASDAQ:FRTA)

Forterra Inc. (NASDAQ:FRTA) Pops After Plunge

Forterra Inc. (NASDAQ:FRTA) Pops After Plunge

The rebound of Forterra Inc. (NASDAQ:FRTA) shares continued in Tuesday’s trading session after a breathtaking 52% collapse on disappointing second quarter financial results. The stock was up by 9.69% in Tuesday’s trading session to end the day at $4.64 a share.

Forterra Inc. (NASDAQ:FRTA)
One month FRTA stock price chart

Class Action Lawsuits

Forterra Inc (NASDAQ:FRTA) continues to trade in a strong down-trend after gapping lower on their Q2 earning’s miss. The stock is currently trading in a $3.85 – $5.25 trading range.

In addition to coming under selling pressure, Forterra is the subject of a wave of class-action lawsuits over claims its officers might have breached their fiduciary duties. Law firms are investigating the company’s executives over claims they may have provided inaccurate statements and omitted material facts ahead of the company’s IPO on October 19, 2016.

The lawsuits allege, among other things, that the IPO registration failed to disclose that Forterra Inc (NASDAQ:FRTA)’s Drainage and Water segments organic sales, had dropped significantly. Shareholders have also taken the company to task for failing to confirm it was under immense pricing pressure in the steel pipe business.

Disappointing Q3 Outlook

The claims come after Forterra Inc (NASDAQ:FRTA) reported a net income of $11.2 million for the second quarter compared to a net income of $36.7 million reported last year. Net sales in the quarter increased to $436.7 million compared to $381.7 million reported in the prior year quarter.

“Our financial results this quarter were lower than we expected, reflecting the impact of weather, unanticipated competitive pricing pressure in certain areas and higher costs of goods sold. We continue to aggressively pursue price increases and growth of higher margin products,” said Forterra Inc (NASDAQ:FRTA) CEO, Jeff Bradley.

The clearest indication that Forterra Inc (NASDAQ:FRTA) is not yet out of the woods, even after considering the weather impact on its financial reports, is the fact that it issued a lower Q3 guidance. The company says it expects its EBITDA earnings to be in the range of $50 – $60 million which is well below consensus estimates of $89 million.

According to the Chief Executive Officer, earnings will take a hit in the second half of the year due to increased costs of operation. The remarks have only gone to fuel concerns that the company strategy that sought to grow margins and earnings is no longer working.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $FRTA and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

On4 Communications Inc (OTCMKTS:ONCI)

On4 Communications Inc (OTCMKTS:ONCI) Rallies On Contract

On4 Communications Inc (OTCMKTS:ONCI)

On4 Communications Inc (OTCMKTS:ONCI) shares rallied 8.70% after the holding company announced the signing of a major contract with a California dealership. The contract is for 20 dealerships in Los Angeles and Orange County, California.

Investors Reaction

“Each dealership will take 20 units per month at $200 a unit which is $100,000 per month and $1.2 million per year. The units will be delivered October 1, 2017,” said CEO Steve Berman.

In addition, the company has also signed a contract worth $450,000 with a 10 dealer group in Arizona at 150 units per month and $250 per unit.

News of the new $1.2 million contract helped push On4 Communications Inc. (OTCMKTS:ONCI) up, helping affirm a bullish momentum that began last month. The stock is currently trading at this year’s highs, after trading in a range in the first half of the year.

On4 Communications Inc (OTCMKTS:ONCI)
One month ONCI stock price chart

BSAFE App

In addition to the new contract in California, On4 Communications Inc (OTCMKTS:ONCI) is also working on a safe driving app dubbed BSAFE. The app is currently in beta testing and is designed to protect drivers from the dangers of distracted driving.

Early this month, the company confirmed the acquisition of its 51% partner in the FMS Safe Driving APP. The acquisition according to the chief executive will reduce On4 Communications Inc. (OTCMKTS:ONCI) operation costs drastically allowing them to develop apps profitably.

“The price is $3,500,000 USD and will be paid in 6 installments over the next 6 months. This will be financed by a loan against receivables and will not be dilutive to the company. Our partner also owns a fleet business which adds another sector to our holdings and is an established business in itself,” said Mr. Berman.

Europe Push

Separately, On4 Communications Inc (OTCMKTS:ONCI) chief executive officer is set to meet with BMW officials at their corporate headquarters in Munich on September 15, 2017. The meeting is the first of many meetings that the company plans to use to educate automakers about the effects of distracted driving and what the company’s app can offer.

The meeting in Europe will also give On4 Communications Inc. (OTCMKTS:ONCI) an opportunity to meet with app designers to finalize the beta testing of 5 new apps. The apps are slated for release sometime in the fourth quarter. Two of the apps are for auto safety, two for the sports gaming industry and one is MJ related.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $ONCI and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Steve Clark is a 23-year Wall St professional with stints in M&A, risk management, and algorithm trading. Steve keeps his head in the game by looking for, and writing about, small companies that often get overlooked by the big investment firms.

HempAmericana Inc (OTCMKTS:HMPQ) Set for Second CBD Oil Extraction Machine

HempAmericana Inc (OTCMKTS:HMPQ)

Shares of HempAmericana Inc (OTCMKTS:HMPQ) rallied 5.50% after the company confirmed approval of a new financing, for the acquisition of a second CBD oil extraction machine. According to Chief Executive Officer Salvadore Rossillo, the new extraction machine should help strengthen the company’s footprint in the CBD market.

HMPQ Stock Performance

Thursday’s rally helped push the stock above a key resistance level, affirming a bullish run that began last month. The stock is currently trading in an uptrend in a $0.01 – $0.02 trading range. The stock continues to elicit renewed investor interest thanks to a number of investments made in the recent past geared towards the multi-billion CBD business.

HempAmericana Inc (OTCMKTS:HMPQ)
One month HMPQ stock price chart

 

HempAmericana Inc (OTCMKTS:HMPQ) is involved in a number of negotiations as it eyes major deals with partners in New York and Maine. The discussions seek to uncover new markets for the company’s CBD Oil extraction business whose capacity has improved in the recent past, thanks to the acquisition of new extraction machines.

Strengthening Production Capacity

According to Forbes, the Cannabidoil market is poised to grow by 700% by 2020, which should present the growth opportunities needed to drive HempAmericana’s next phase of growth. The company is focused on increasing its core productive capacity for CBD oil extraction, in a bid to meet the ever rising demand.

“This has been our strategy all along, we want multiple machines in operation while we become a dominant player in the CBD Oil space.” He further stated, “We’ve visited many sites recently and this 2nd purchase will be placed in one of them which we shall be announcing to our shareholders this week,” said Mr. Rosillo.

Last Month, HempAmericana Inc (OTCMKTS:HMPQ) confirmed the acquisition of a second CBD oil extraction machine that is double the size of the current machine, expected to double production capacity. The acquisition comes on the heels of three new contracts that the company has been working on as it continues to explore new sources of revenue.

In addition to pursuing opportunities in the Cannabidiol oil business, HempAmericana Inc (OTCMKTS:HMPQ) is also expanding into the hemp Auto Plastics business. The company has teamed up with a partner in Maine to add the new cutting edge products to its network. The two are to work together on the development of replacement plastics for the automotive industry.

The partnership provides the company with access to state of the art R&D technology expected to generate substantial revenue going forward.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $HMPQ and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.

Image Protect Inc (OTCMKTS:IMTL)

Image Protect Inc (OTCMKTS:IMTL) Explodes 66.67% On Partnership

Image Protect Inc (OTCMKTS:IMTL)

Image Protect Inc (OTCMKTS:IMTL) rallied 66.68% after announcing plans to team up with Safe Creative, to streamline the tracking of registered images and illustrations online. The partnership comes on the heels of the company announcing 3000 actionable infringement cases in Q1.

Thursday’s rally saw the stock break a key resistance level at the $0.035 level to end the day at $0.04 a share. The rally helped reverse, be it in the short term, a strong downtrend that has plagued the stock.

The stock of Image Protect Inc (OTCMKTS:IMTL) is currently trading in a $0.02 – $0.04 range, waiting to see if the recent rally has the momentum to push it to 2017 highs of $0.07 a share. The stock faces immediate resistance at the $0.05 mark above which it could rise to the $0.07 mark. Its 52-week high is $0.15.

Safe Creative Partnership

Formation of a joint venture with the European partner appears to have renewed investor interest in the stock as the deal is poised to lead to additional revenues. Safe Creative is a global copyright registry with over 7,000 users. The firm uses sophisticated systems to generate and manage copyrights.

“We anticipate both platforms to benefit from our aligned strategies to solve important copyright issues for our clients. This broadens our access to our monitoring services to the member photographers of Safe Creative while creating additional revenue for the company,” said Jonathan Thomas, COO of Image Protect Inc (OTCMKTS:IMTL).

Software Solution

Teaming up with Safe Creative could not have come at a better time as Image Protect Inc (OTCMKTS:IMTL) is currently representing over 170,000 photographers and 31 photo Agencies. The two groups are relying on the company to protect copyrights of their images posted online

The company has developed an end to end business solution that can be passed through blogs, corporate and editorial websites to ensure that all images adhere to copyright laws. The software has grown from a beta-tested service to a full service in less than three years, monitoring over 10 million images.

The software solution is leading Image Protect push in the fight against online piracy.

“Order is being brought to the fast-moving world of the internet age, who owns what, and who has the rights to post and use Images, content, and videos,” said Chief Executive Officer, Lawrence Adams.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $IMTL and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Marc has a degree in economics and a MSc. in Finance. Over his 20-year career, Marc has worked for global investment firms in Europe and the United States as an analyst, fund manager, and consultant.

Singlepoint Inc (OTCMKTS:SING)

Singlepoint Inc (OTCMKTS:SING) Invests in Dr. FeelGood and WeedCoin

Singlepoint Inc (OTCMKTS:SING)

Shares of Singlepoint Inc (OTCMKTS:SING) rallied 20.20% after the company confirmed the acquisition of Dr. FeelGood, a profitable cannabis distribution company. Under the terms of the agreement, the company is to acquire a 51% stake in the distribution firm in a cash and stock transaction.

The 20.20% rally helped reverse a sell-off wave that had already broken a key support level. Singlepoint Inc (OTCMKTS:SING) is currently trading in a $0.06-$0.07 trading range, waiting to see if it will break through the $0.08 – $0.09 levels, which are acting as immediate resistance levels.

Singlepoint Inc (OTCMKTS:SING)
One month SING stock price chart

The Dr. FeelGood acquisition has already triggered renewed investor interest in Singlepoint Inc (OTCMKTS:SING) stock given that it strengthens the company’s prospects in the multibillion legal cannabis business. Dr. FeelGood is SinglePoint’s third acquisition for the year as it continues to diversify its revenue stream through acquisitions.

Revenue Addition

Dr. FeelGood should provide Singlepoint Inc. (OTCMKTS:SING) with additional revenue, in addition to an experienced team that has been working in the cannabis industry for years. The distribution firm is currently working on a mobile app that, it claims, will enhance their user experience in addition to streamlining operations.

“SinglePoint is in a better position than it has ever been before. We are well capitalized to continue acquisitions and we are optimistic to complete additional acquisitions and very optimistic to significantly increase the company revenue,” said Singlepoint Inc (OTCMKTS:SING) CEO, Greg Lambrecht.

Dr. FeelGood boasts of a wide variety of products distributed through B2B and B2C channels that Singlepoint Inc (OTCMKTS:SING) is set to gain access to. The two companies are also set to collaborate on the development and implementation of a new delivery platform.

WeedCoin Acquisition

Singlepoint Inc (OTCMKTS:SING) has also completed the acquisition of WeedCoin from First Bitcoin Capital Inc. The acquisition expands the company’s footprint into the Bitcoin business. WeedCoin is one of the three Cryptocurrencies targeting consumers in the cannabis business. Since its launch, the cryptocurrency has achieved a market capitalization of $60 million.

By acquiring WeedCoin, Singlepoint Inc. (OTCMKTS:SING) hopes to provide customers an alternative payment option given the many barriers that come into play with traditional payment options. WeedCoin is already registered in three popular exchanges which could see it generate greater levels of interest needed to gain a competitive edge against other Cryptocurrencies.

I have no positions in any of the stocks mentioned, and have no plans to initiate any positions within the next 72 hours. All information, including any data, is provided without any guarantees of accuracy.

Don’t miss out! Stay informed on $SING and receive breaking news on other hot stocks by signing up for our free newsletter!

About the author: Monica has an undergraduate degree in Accounting and an MBA she earned – with Honors. She has six years of experience in the financial markets and has been an analyst for the past two years.