A paid stock promotion and some business expansion news provided for a strong session for the stock of Omni Ventures, Inc. (PINK:OMVE
, OMVE message board
) yesterday. Today, the action could continue as the high demand for the shares occurred shortly before market close yesterday. Interestingly, yesterday was also the maturity date of one of OMVE outstanding notes secured by the company's assets.
After the strong rush for OMVE shares at the end of the trading session, the stock closed the market 14.29% higher at $0.32 for a share, while the trading volume amounted 144,000 traded shares. OMVE could not overcome the $0.35 resistance, but the RSI and the MACD are pointing up, which means the share price could increase further today.
That short-term action yesterday was accompanied by numerous promotional e-mails for OMVE sent yesterday for a compensation of $5,000, paid by a third party. At the same time, the company issued a press release announcing that OMVE has entered into some agreements to distribute the branded apparel of its wholly-owned subsidiary PRVCY Couture Inc. in Mexico. No further details have been mentioned, and there is no 8-k filing for a significant material change, thus the "news" may not be relied upon.
In August, OMVE filed its 10-Q for the quarter ended June 30, 2011. According to the report, at the end of June OMVE had only around $9,500 in cash, but needed $2 million to carry out its business plan over the next 12 months.
In addition, a note in the amount of $325,000 issued in connection with the purchase of certain assets of PRVCY in November 2010 matured on November 14, 2011. As the total current assets were $694,000, and $678,000 of these were in the form of inventory, while the total current liabilities were over $636,000, it is not known if OMVE managed to sell out the products held in inventory to repay its debts.