Greenlite Ventures, Inc. (OTC:GLTV
, GLTV message board
) tanked again to the bottom yesterday although the stock got a new promotion and the company announced a new letter of intent. It will not be a surprise if GLTV falls further down following that second promotional effort.
After the initial run-up on the news and the promotion during which GLTV surged to $0.305, the stock price fell dramatically and the session ended up with a 28.18% loss in value at $0.158 on a total trading volume of 846,204 traded shares, which is huge compared to the daily average of only around 27,000.
Yesterday's low of $0.15 is below the one from last week, and given that the volume was also much larger it looks like GLTV could fall down again today.
The new promotion from yesterday is in fact the second for the stock this month, as our database shows
. On March 12, a third party paid $25,000 to have the stock promoted, while yesterday another third party paid again $20,000 for a one-day profile.
The observed trading pattern on the both days on which GLTV got promoted explains actually what happened - the paying parties were most likely shareholders of the company that were in a hurry to dump their shares on the market, and as the stock price surged at market open maybe they had a chance to do that.
The news announced early in the morning yesterday that GLTV had signed a letter of intent to acquire a German based company engaged in marketing and trading carbon credits was also not all good. The company will pay for that acquisition through issuing new shares of its common stock that will dilute the shareholders, while the acquired company reported EUR 2.4 million in sales for 2011.
As GLVT holds now a market cap of $3.8 million, the potential for that value to increase on the short-term looks very questionable.