Friday’s session was quite remarkable for ROFO stock. There was no change in the closing price, which remained at $1.26, but a huge trading volume of over 282,000 shares was observed. The interesting thing is not only that such a volume has not been reported over the past year, but it also looked like almost all of it was made in one transaction in the middle of the trading session.
The trading activity may suggest that a significant bock holding of ROFO shares has changed its holder on Friday, but since ROFO is not filing current information with the SEC since February this year traders will probably not get the information if the trade was made by an institutional investor, or by someone holding insider information about the company.
Last week, ROFO published their unaudited financial results for the three and nine months ended September 2010 on the OTC markets homepage. According to the submitted document, ROFO had no cash at the end of September, but the results from its operations have been optimistic. Sales have increased, cost structure has been improved and the company has even reported positive net income of $2.5 for the nine-month period.
The question remains why the securities have been de-registered from the SEC in August last year. After that, the latest available SEC filing from the company revealed that at the end of last year an investment fund registered as investment advisor has acquired 563,745, or 6.57%, of ROFO’s outstanding shares of common stock.
