Propanc Health Group Corp. (OTCMKTS:PPCH)’s Crash Has Begun
Propanc Health Group Corp. (OTCMKTS:PPCH) has added a total of 66% to its market value since its latest surge began, but it looks like its hype bubble is finally bursting.
It has been three days since Accesswire covered PPCH and launched the ticker up the charts. Said article compared PPCH to “CETX or CANF” and drew a lot of attention to PPCH‘s potential, but didn’t present it in an entirely objective way.
Although it is true that there is a chance that PPCh will eventually make it big at some point in the distant future, the fact remains that as it is right NOW, it does very little to create investor value.
The company’s latest financial report for the year 2014 looks positively dreadful:
- Cash – $107 thousand
- Current assets – $621 thousand
- Current liabilities – $3.68 million
- Annual revenues – ZERO
- Annual net loss – $3.41 million
If those bleak financials were not bad enough, the company is burdened with a LOT of convertible debt.
And the worst part is that since it is “convertible into common stock at the lower of (i) $0.0346; or (ii) a twenty percent (20%) discount to the average of the two lowest closing prices of the common stock in the five trading days prior to the date of conversion”, now would be a perfect time to dump some of it on the market.
As a matter of fact, it seems like that’s what’s happening right now. PPCH is already down 15% in early trading today dropping straight down, and on heavy volume to boot.