The share price of Allezoe Medical Holdings, Inc. (OTC:ALZM) stock reached 2.60 on news and promotion at the end of last month. Though, now it looks like the days of such popularity are over as suspicions of questionable stock promotions arose and as ALZM recently acquired subsidiary lost a reputable member of its Board of Directors.
On Friday, ALZM kept falling down from the peak and closed the session at $0.96, recording a 33.79% loss in value in just one day. Now it looks like the initial excitement on the company’s changed mission has completely expired and on Friday another 4.06 million share got sold out by investors, almost 58 times the average. Further reasons for ALZM fall down look much deeper than just the expired effects of a $800,000 worth one-month promotion booked for the shares of ALZM by a third party.
The promised by that promoter jump up of the share price due to a massive short squeeze did not happen, rather the third party that paid the promoter was actually holding shares as suspected and liquidated them on the market. That sounds like a reasonable explanation for the after-promotional performance of ALZM, but does not guarantee that the share price cannot go further dawn.
The company is currently positioned in the lowest possible tier on the OTC Market: the notorious “Caveat Emptor” tier that includes companies for which there are grounded suspicions about involvement in questionable stock promotions, or fraudulent activity committed by the company or insiders, regulatory suspensions, or disruptive corporate actions.
Also, on Wednesday last week it was announced that Tommy Thompson, former Governor of Wisconsin and former Secretary of the US Department of Health and Human Services, has resigned from the Board of Directors of ALZM wholly-owned subsidiary Organ Transport Systems, Inc. (OTS). Among his reasons for the resignations are certain promoters’ statements saying that Mr. Thompson was a member of the Board of Directors of ALZM and containing “many exaggerations, misrepresentations and misleading claims” about the company.
Allezoe Medical Holdings states in its latest press release that it has already condemned the stock promotions for its stock “as unauthorized, misleading and harmful”.
