Borislav Tonev

Clean Coal Technologies Inc (OTCMKTS:CCTC) Tumbling Down

by Borislav Tonev February 12, 2016

Back in September Clean Coal Technologies Inc (OTCMKTS:CCTC, CCTC message board) was climbing up the chart. A few weeks of intense trading pushed the ticker out of obscurity and dragged it from just over $0.25 all the way to more than $1 per share. Back then, the company was delinquent in its filings and investors didn't know what CCTC's financial situation is.

Right now, they do. At the end of last month, the company finally managed to file all the missing 10-Q's and 10-K's, and it regained its current status. The stock, however, is sliding down. The most recent green session was logged on February 3 and since then, CCTC has dropped from around $0.66 per share all the way to yesterday's close of just over $0.47.

Based on this, you'd think that the latest 10-Q is pretty ugly. And you'd be right:

  • current assets: $105 thousand in cash
  • current liabilities: $61.5 million
  • NO revenue
  • quarterly operating loss: $2.3 million

As you can see, the financials are nothing short of appalling. But is it all doom and gloom?

Well, the company recently completed the initial testing of its PristineM technology and the management team were more than eager to announce that the results are good. Yesterday, they also said that the freezing of President Obama's Climate Policy might accelerate the adoption of CCTC's coal treatment technology.

So, the people at the helm at least, are pretty excited about what's in store for CCTC. The thing is, excitement alone won't be enough to keep the stock afloat. Not when there's a ton of convertible notes.

According to the latest 10-Q, the current principal amount of convertible debt outstanding at the end of Q3 of 2015 stood at more than $1.4 million and the conversion terms allowed the note holders to turn it into stock at either a fixed price or at discounts ranging from 25% to 45%. Between October 2015 and January 2016, the company borrowed a further $1.5 million under a note which is convertible at a fixed rate of $0.08 per share.

So, there's no shortage of people who are almost certain to profit from CCTC. We're just not sure if retail investors are among them.

Comments 4

1. Guest
April 28, 2016, 01:33PM

Quotes CCFU (acronym for how it screws over investors) has already done enough damage with the boiler-room management it has.

Everyone get out of CCTC while you can. It's hitting new lows (35cents) now with no end in sight. Management should be jailed for this Ponzi scheme.

Even with building a 2-million-dollar test-plant, they had to keep the lie believable longer didn't they?

2. Guest
February 17, 2016, 01:07PM

Quotes Here's some hope for investors: When the CFO now buys 3.5 MILLION units of stock, you know something big's about to happen.

SEC website has the proof for CFO Aiden Neary's recent acquisition:

3. Guest
February 13, 2016, 10:38AM

Quotes GOOGLE finance is terrible in reporting the news. Missed nearly all press releases on CCTC

4. Guest
February 12, 2016, 09:26AM

Quotes Seriously? Are you guys paid-off by CCTC's competitors? ONLY bad news ever goes on here, NEVER the good news! Time for an audit on this site!!!

p.s. thank you for stating the obvious, captain obvious

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