RARUS TECHNOLOGIES INC (PINK:RARS)
hit a massive gain. Yesterday, the stock soared 99.96% and managed to trade over
54 million shares for the day.
The reason for the huge gain turns out to be the series of positive news on RARS. The announcements came up during the past days and immediately pumped up the company's stock price.
The first announcement was issued on May 8, when Rarus reported that it has signed an Exclusive Software Property, Technical Information and Trademark License Agreement with ThinkCorp AG for the acquisition of Zngle.com.
On the following day, RARS published the official agreement with ThinkCorp AG and acquired Zngle. The total scheduled payments to be made by Rarus to ThinkCorp due during the entire 60 month period is $22,000,000, plus 5% royalty on all net sales derived from the use of the software properties, technical information and trademarks within the agreed territory.
Yet, it was not the end of the news series on RARS. Yesterday, the company came up with the next PR release, which reported that it has entered into the final development stages of the Zngle.com sharing application and was aiming to capture share of $43 billion dollar global market by year 2016.
This announcement was accompanied by a promotional campaign worth $20,000 to impress traders even more. Meanwhile, the alerts on RARS continue and the result is currently expected.
At the same time, the last 10-Q of Rarus looks rather disturbing. As of March 31, 2012 the company's cash points zero, and its total liabilities are much higher than the total assets. Besides, both - the stockholders' deficit and the accumulated deficit during exploration stage are negative values.
Additionally, the report states that Rarus is subject to a number of substantial business risks and uncertainties inherent in starting a new business and there is no assurance that the company will be able to generate sufficient revenues or obtain sufficient funds necessary for launching a new business venture.