mCig Inc. (OTCBB:MCIG) Jumps On News Of Fresh Acquisitions
mCig Inc. (OTCBB:MCIG) has more than recovered from the horrendous crash the ticker suffered in the very last session of 2013. The 41.18% drop on Dec. 31 2013 was compensated for in the next session. Jan. 9 to 13 brought the company another period of explosive growth, followed by a slight fall and a relative calm.
The gentle fluctuation pattern was interrupted on Thursday, when the company jumped 23.88% again. On Friday the ticker rose again, on the wings of a fresh press release.
About an hour and a half before last week’s final session MCIG announced its acquisition of Vapolution Inc., which is claimed to be one of the leading vaporizer companies. Vapolution is presently selling in over 10 countries and has 200 shops around the world – an impressive achievement that is sure to aid MCIG. This transaction marks the company’s expansion from the market of personal vaporizers to that of traditional home-use vaporizers. The press release did not provide full details on the acquisition deal and traders may want to keep an eye out for a filing containing the exact terms and payment method used in the deal.
These news combined quite nicely with the statement of the US Attorney General that steps are to be taken in the direction of further legitimizing the marijuana business and allowing them access to banking services. Eric Holder’s interviews hit the wire on Thursday, and together with the news of the acquisition managed to push MCIG all the way to a high of $0.293.
All in all, the company seems to be progressing nicely, expanding its market niches and putting a lot of effort into the successful reduction of its net loss.
Despite all of these green lights, investors would do well to remember that the jumps in its market value are largely hype-driven, and do not represent the company’s present achievements completely. Due diligence is, as always advisory when dealing with the stock market in its present volatile state.
An nowhere is this volatile instability more obvious than the charts of other marijuana stocks – Terra Tech Corp. (OTCBB:TRTC), Medical Marijuana Inc. (OTCMKTS:MJNA) and HEMP, INC.(OTCMKTS:HEMP) all jumped on Friday, by 17.5%, 14.81% and 14.03%, respectively.