VGTel, Inc. (PINK:VGTL) has received its first paid promotion last night which is very likely to make the stock attractive for trading in the coming session. The company is a shell, however, and thus its stock hardly looks good for a longer term hold.
Yesterday, VGTL closed the market with a 35.17% increase in its share price at $0.57. The stock is very illiquid with only around 18,000 traded shares daily for the past three months, which makes yesterday’s trading volume of over 176,600 shares look huge. In any case, it is the highest for the past six months.
Last night, promotional e-mails profiling VGTL came into our database. Those are the first paid newsletter which cover the company. Also, the campaign is expected to be strong as the e-mails have been sent through various different stock promoting websites, having thus a broader reach within the trading community.
According to our data, the total budget of the campaign could exceed $100,000 as one of the promoters discloses a $30,000 compensation and another one a $75,000. For a brand new campaign, the effect on trading today is likely to be huge.
VGLT has published a press release as well to provide some kind of an overview on its business and its expansion plans. The announcement does not say anything meaningful, while the company’s last 10-Q filing reveals that VGTL is a shell that is still looking for an operating business to acquire. That cannot justify a market cap of over $7.3 million, which holds for almost six months now.