Sebring Software, Inc. (OTC:SMXI) is a development-stage company which has defaulted on some of its debt. Despite the precarious situation of SMXI, at least two newsletters sent pump mails on it after the close.
Yesterday, just 4 thousand SMXI shares traded on the market. SMXI closed up 12.20% at $0.46.[BANNER]
The company hasn’t issued any press releases recently, and its financial report for Q3 was hardly anything to be happy about.
This didn’t get in the way of at least two promoters, who sent out emails to pump the stock. One disclosed a $30 thousand compensation, and the other one – $12 thousand.
SMXI announced acquiring Scalix Corporation from Xandros, Inc. on July 12. However, the quarterly report for Q3 shows SMXI still isn’t generating revenue. Additionally, it has a huge working capital deficit, and incurs further losses.
One of the promoters claims SMXI is “on the brink of signing a major contract with” Hewlett-Packard. The claim is not substantiated by anything. There are no details about what that contract might be, and no information what the claim is based on.
In conclusion, the two tout mails can attract some attention to SMXI, but how that will affect the price is not certain. Keeping in mind the situation of SMXI, the effect may be negative. It is also possible, however, that the company issues some press release, which could help.
