Georgi Kamburov

Another Wave of Pump Emails for Thinspace Technology Inc. (OTCMKTS:THNS)

by Georgi Kamburov February 18, 2015

Yesterday the market showed increased interest in the stock of Thinspace Technology Inc (OTCMKTS:THNS, THNS message board). Traders shifted over 1.38 million shares when the traded volume for the previous session couldn’t reach 240 thousand shares. After closing 10.4% in the green THNS is sitting at $0.146 per share. Although the outcome was positive the performance of the ticker was quite hesitant – right after the opening bell it surged to a high of $0.168 but failed to maintain such prices and quickly dropped down.

Yesterday’s trading was eerily reminiscent of the February 2 session. Back then THNS posted almost the exact results – 1.39 million traded shares and a gain of 10.6%. Throughout the session the stock also showed a lot of volatility. The similarities don’t stop there – on both days THNS announced a new customer. On February 2 the Indian film and retail entertainment company PVR Cinemas chose Thinspace’s products over the competition while yesterday they announced that Scarborough Public Library in Trinidad and Tobago has selected the company for its desktop virtualization solutions.

There is yet another major similarity between the two sessions – both times THNS was touted by paid pumpers. The company has been the target of a paid promotion since the start of 2015 and the campaign is still active. Yesterday we received 7 new email alerts coming from various newsletters. Although the disclosed compensations were a bit lower this time the amount of money being splashed around to prop up the stock is still significant. PennyStockCraze received $14500, AllStarStockPicks bagged $10000 while HSP Team disclosed the sum of $15000.

Investors might want to take a closer look at the disclaimers found at the bottom of the email alerts. HSP Team reveals that the money they got was paid directly by Thinspace themselves. The PennyStockCraze disclaimer contains even more disturbing information. Apparently Action Media Holdings Corp., the company that owns the newsletter, has been previously compensated $43 500 from THNS in addition to the current sum they received. It is quite curious that the company has decided to spend so much on an artificial hype campaign instead of paying for actual advertising for their products.

In our previous articles we warned you that last year, between February and August, THNS sold convertible notes totaling $2.4 million. These notes can be turned into common shares at a significant discount to the market price. For the first nine months of 2014 6.5 million shares were printed at just $0.038. In October however the conversion price got even lower and 2.5 million shares were issued at $0.031.

It is true that THNS have achieved respectable revenues - $2.3 million for the third quarter of 2014 and $5.7 million for the nine-month period but they are still far from becoming a profitable entity. The ongoing pump and the numerous convertible notes make the stock an even riskier choice for investment. It is extremely important to do your own due diligence before committing to any trades involving the ticker. 

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