What would happen if a pink sheet created a Facebook page and published it as an official press release? If you see what happened with InoLife Technologies Inc (PINK:INOL) yesterday, you will most probably understand why a pure mentioning of Facebook can have a major impact even in pennystockland.
Yesterday, INOL stock almost doubled in value after the company proudly presented a brand-new Facebook page for its Ancestral Origins. What followed was a 96% surge up to $0.0057 per share, marking an 11-week high. Moreover, INOL enjoyed a gigantic spike in volume as more than 223 million shares changed hands. The latter is not only a 52-week record, but also 25 times higher than the daily average trading volume.
INOL’s glorious run did not go unnoticed by traders posting on the iHub. Fired with enthusiasm, most of them expect the company’s stock to ‘rock hard’ during the upcoming session. However, such a scenario may no longer be taken for granted. Indeed, Facebook is undoubtedly a powerful contemporary tool that allows companies to reach a much wider target group. Yet, INOL will not be able to reap the benefits of its newly created page as long as people willing to view it get ‘The page you requested was not found’ message. Check out here and see it yourselves.
For what it’s worth, InoLife Technologies Inc is focused on designing novel DNA testing products throughout the United States. The company claims to have already developed a number of products and plans to use different distribution channels to reach its customers.
Being a diligent filer, INOL has kept its financials fairly transparent. According to its latest report for the quarter ended Dec. 31, 2010, the company’s balance sheet indicated:
- $95 thousand in cash;
- $150K in total assets vs. $545K in total liabilities;
- zero revenues and a three-month net loss of $200 thousand.
By the end of 2010 INOL had exhausted 77% of its A/S, which implies that there are still more than 50 million authorized shares in the vault. Given that INOL’s liabilities considerably exceed its assets, the company will most probably resort to dilution in due course.
