Pleasant Kids Inc (OTCMKTS:PLKD) Turns Green Once More
In a bit of a surprising twist Pleasant Kids Inc (OTCMKTS:PLKD) managed to haul itself to a green close on Friday. The stock moved 18% up the chart, virtually regaining what ground was lost in Thursday’s slide. By the bell PLKD was perched at $0.325 per share, after 1 million shares had changed hands over the course of the session.
It’s puzzling to watch PLKD move on the charts, seemingly driven by an invisible force, because last time we checked excitement and hype had no material form. The only reason PLKD is making a splash on the charts and accumulating volume is the announcement of a reverse merger. A telecom company named Next Group Holdings Inc. is supposed to merge into PLKD and use it as a vessel to go public.
Sadly, all investors have on the merger at this point is one paragraph of information in PLKD‘s latest quarterly, no consolidated financials of Next Group published by the public company and an 8-K filing informing the closing of the merger was delayed until Nov 30, with the possibility to extend the closing date with another SIXTY days.
Given that there is no official confirmation of the closing, it’s safe to assume that the closing was delayed into the two-month overtime period. Given that the merger share exchange agreement was signed in mid-August, the delays and uncertainty are making some investors pretty fidgety.
The last report PLKD put up contained some dreary financial performance:
- ZERO in cash
- $778 thousand in current liabilities
- $724 in quarterly revenues
- $31 thousand in quarterly net loss
Those figures are the aftermath of an unsuccessful business with alkalized water for children. Should the merger deal with Next Group fail to close, PLKD may quickly find itself back at its price levels at the start of October, at just over a cent per share.
