After an impressive price fall on Monday, Medina International Holdings, Inc. (OTC:MIHI) got the climb. Yesterday, the stock 
soared 40% on the market, while its traded volume notably rose up.
Two factors formed the gain – positive news and promotions. Both happened yesterday, when Medina reported that its subsidiary WinTec Protective Systems, Inc. has received approval for a Hydro-Tain oil adsorption product. By stating that the EPA classification and approval opens up a new market segment for Hydro-Tain, Mr. Robert Doherty, CEO of WinTec, certainly encouraged investors and MIHI stock price jumped up at once.
Though, the optimistic news was not the only reason for the gain. To re-ensure its market position, Medina became part of a promotional campaign. It started on Monday and continued yesterday when MIHI was promoted by Stock Guru. No third party was involved in the promotion.
Actually, historical records show that the stock has been regularly promoted since mid-July and now the campaign continues. Looks like alerts, accompanied by positive news, often pump up MIHI stock price. However, the up move gets shortly broken.
Medina International Holdings, Inc., through its wholly owned subsidiary Harbor Guard Boats, Inc., produces commercial fire, rescue, police and patrol boats utilizing the highest design and performance standards. On Aug 1, the company filed its annual results, which appeared to be a bit contradictory.
During the year ended April 30, MIHI has registered:
* $1,542,436 net sales
* $566,022 net loss
* $6,009,376 accumulated deficit
* $(2,244,973) stockholders’ equity [BANNER]
On June 28, Medina entered into a Contribution and Exchange Agreement with WinTec and the company agreed to issue 3,000,000 shares of its restricted common stock in exchange for 20,400,000 shares of the common stock of WinTec. As a result of the exchange, MIHI holds 51% of the issued and outstanding common stock of WinTec, making WinTec a subsidiary of the company.
However, apart from the risk factors mentioned in the 10-K, Medina has incurred some other losses and it will need additional capital to cover them. Thus, the company’s auditors have issued a “going concern” qualification stating that there is substantial doubt about the ability of MIHI to continue its operations.
