After RMCP announced that the share supply for their stock will be considerably improved, the traders and the shorters saw excellent opportunities to make easy short-term profits. On Friday, RMCO share price jumped another 31.44% up and hit another new 52-week high at $1.27.
This time, however, the rise has been supported also by a considerable update on the company’s product. On Thursday, RMCP filed with the SEC the confirmation for a signed contract for the manufacturing of the RevVac 3ml safety syringe, the company’s only marketable product and the main subject of the latest attention grabbing series of press releases issued by the company.
Admittedly, this looks like a milestone event, since the engaged in the development of safety needle devices company has never managed so sell a single product so far and and has not even commenced production, although the RevVac Safety Syringe received FDA clearance already in February last year.
Only the shorters were not so sure that the US Defence might actually be the first RMCP customer and purchaser of the RevVac syringe and shorted almost 52% of the 1.33 million share volume of Friday.
According to the 8-k from Thursday, a limited liability company should now manufacture and deliver 5 million RevVac 3ml safety syringes to RMCP each month. No details about a possible purchase partner for the syringes have been announced in the filing, nor any management plans about how the deal will be financed.
RMCP is progressively running out of cash and from the $67,000 at the end of last year only $297 were left at the end of June, thus the $600,000 that RMCP will have to pay to the manufacturer will be a problem. The further arrangements look more manageable: 40,000 shares of common stock shall be delivered to the contractor and another 1 million shares or warrants will be due when a logistic agreement between the two companies is reached.
