Madison Ave Media, Inc. (OTC:KHZM) is looking to breakout with a heavy trading volume following up from the very end of yesterday’s trading session. The stock has already caught attention of some penny stock newsletters and thus the intrigue has gotten even bigger.
KHZM stock is rallying as the company has announced intentions to acquire Firefly – a web builder software allowing common users to create own websites. The company would be charging $50-$5000 for the services provided through Firefly.
The acquisition is a major deal for the business that has been struggling to cover the administrative costs in the first place. However, it will most likely be executed by paying in stock or convertible notes, thus potentially hurting the long term shareholders.[BANNER]
The future gains from the utilization of Firefly are not certain, even though theoretically the system should be able to service over one million websites, which would calculate to considerable income given pricing of services.
In addition the company announced today that Bruce Silverman has joined their advisory board. The development cannot be directly valued of its quantitative effect as well.
Thus far the stock has been picked up by a least three different newsletters, feeding the price with over 12% gain before the middle of today’s trading session.
