yesterday and its volume hit over 1 million shares traded. Seems that something has disappointed investors and IMGG started to fall.Yesterday, Imaging3 reported that the company has entered into a Securities Purchase Agreement with two institutional investors for the sale of common stock and warrants for $1 million. Dean Janes, Chairman and CEO of the company, claimed that this transaction would provide Imaging3 with sufficient working capital for the next year. However, the offering is yet to be closed “on or before October 14, 2010”. Meanwhile, IMGG price change remains negative.
Imaging3, Inc. is a provider of advanced technology medical imaging devices. Except for the latest announcement, there is no other news on the company’s recent activities.[BANNER]
About a month ago, IMGG was promoted and discussed as “worth buying”, though the rumors on the company haven’t been confirmed.
Presently, the financial condition of Imaging3 is still unstable. The company has much more liabilities than assets, while its revenues are not sufficient to cover the losses. Apart from this, the management team claims it expects more losses to come and it needs additional financing to cover its huge working capital deficit.
Judging by these facts, the future of Imaging3 remains uncertain, unless the company finds a way to ensure additional cash resources.
