progressively. Yesterday, it exceeded 877 thousand shares, which is approximately four times higher than the average volume of REMC.However, no one knows the reason for the sudden volume jump. Probably, the investors are getting disappointed by the stock and they started to dump their shares.
Historical records show that REMC has kept the low-trade for quite long time and there was no news on the company’s business. Last week, Remec filed its quarterly report and its Board of Directors declared a liquidating cash distribution in a range between $0.81 and $0.87 per share, payable to the shareholders “on or about December 10, 2010”. Though, the company reported it would issue a further announcement on the matter in November.[BANNER]
According to its official website, REMEC is in the process of a voluntary corporate dissolution and is not conducting any business, winding up all its affairs. As a result of the adoption of the Plan of Dissolution, the company has not generated revenues from the sale of products since it ceased all sales and marketing efforts.
Remec financials show that its cash and cash equivalents have decreased and as of July 30, 2010 the company’s net assets in liquidation totaled approximately $28 million. Remec expects to incur about $4 million in liabilities during the liquidation and all its cash and cash equivalents were held primarily in money market funds and bank deposit accounts. The company expects to use the capital resources for completing its Plan of Dissolution.
However, at this point there is no further information on Remec and the investors should follow closer the future movement of the stock.
