It looks like the promotion was just for this Monday and has by now already expired. Still, its effect on the trading activity can hardly be ignored. BGNN share price doubled in a day to hit $0.0028, but as it usually happens it could not hold that level for more than a couple of hours. As soon as the huge trading interest faded away, BGNN looked like it is again on its way down. Yesterday, the stock dropped down 16.67% and closed at $0.0015 on a trading volume of 17.77 million shares.
Such promoting attempts look somewhat pitiful, especially given that the company does not have much to brag about this year. According to its latest quarter report, BGNN still has more than $1.2 million in cash (the only significant asset) and no long term debt. It is also true, however, that this amount is only enough to cover the current expenses, but not to make the planned acquisitions and provide a solid base for the business to grow. The low market cap of less than a million dollar is also pretty unexplainable, even on the background of the net losses and the minor revenues.
Management plan to give a positive signal to traders who fear dilution was also given in the latest update of the company. B Green Innovations plans to cut off its number of authorized shares of Class A Common Stock by 40%. Currently, BGNN is authorized to issue 10 Billion shares of that stock class. In fact, the remaining total 6 Billion shares (605 Million are now issued and outstanding) could still not prevent massive dilution.
