Nearly 21 million shares of MRES were traded on Friday, an almost unbelievable value for a stock with the already mentioned average volume of 2,000 shares. The jump in the price was not that unbelievable for a pink sheets stock, “only” 12% and the shares closed at $0.028, not being able to break the previous resistance. Though, the latest press releases by the company, that was previously engaged in the exploration and development of mineral properties in Canada, were not the reason for the sudden trading interest.
MRES faces completely new prospects currently, focused on neuroscience medical diagnostics and aimed at developing and commercializing blood tests for early diagnostics of various disorders. The biotechnology industry requires a lot of capital, however, and with MRES zero cash position at the end of July the company is obviously ready only for the next capital raising event, and for making their stock look more attractive.
Friday’s MRES price and volume jumps resulted from a stock promotion, worth $13,000 for a one time trading alert. Also implying that the effects on the stock will probably not last, MRES state of business is not enviable. As a result from their new business venture, in the middle of last month their CEO left, as of July, 27 the company had no employees and its “President and Secretary-Treasurer have agreed to allocate a portion of their time without compensation to the activities of the Company”.
The financial condition is not much better, especially in regard of the currently $18.56 market cap: around $680,000 in assets ($610,000 of which consisting of paid license fees) have to stand for almost $1.6 million in current debts. Further, MRES has no revenues since inception, but an accumulated loss of $53 million.
