3P International Energy Corp (CVE:DOH) (PINK:TPNEF) share price continues to roll down as the company remains in search for acquisition targets.
Stock value slipped down another 5% over the past two days, attracting a heavy volume of 1.3 million yesterday. That was 4 times the average of 316 thousand, but the reason for such a spike in trading activity remains unclear as there were no news and the price reaction was vague.
Despite the extended downtrend, the company still holds a rather high market cap of $36.8 million. Their book value is roughly $15 million and most of it is in cash due to $13 million worth of equity fundings done in the second half of 2010.
This roll down in price is very likely to continue as there were no updates on the most recent LOI to acquire assets in Ukraine. The offering should now have expired. The company has no source of revenues and is still searching to acquire a producing energy related business.
Another troublesome aspect is the recent change in management. On April 12, 2011 the CEO Dr. David Kahn resigned from his position. He was temporarily replaced by the director of the company, Mr. MacMicken.
With the lack of worthwhile news the stock price has recently passed below a major support at 60 cents, thus the path is now mostly clear for it to go as low as 35 cents.
