, Inc. (OTCMKTS:SEEK) Rallies After Acquisition Announcement Hits The Market, Inc. (OTCMKTS:SEEK) once again managed to escape from the triple zeros after sitting there for the past month. The stock surged by 75% in a move very reminiscent of the run it made in mid July and now is now back to $0.0014 per share. Even more impressive was the increase in traded volume. Investors shifted more than 325 million shares in a single day compared to the 38 million from the previous session.

The news that spurred such buying frenzy was substantial indeed. SEEK purchased the assets of one of the largest local city guide networks from an undisclosed private company. They said that the deal was valued at $2.1 million, funds that sadly are out of reach for SEEK. That is why the second part of the PR article is even more important.

Apparently a $5 million credit facility has been signed with TCA Global Fund and $1.3 million have already been used in the acquisition. This leaves SEEK with a lot of funds for its future operations. A conference call will be announced next week which will shed further light on their plans.

For now the company remains focused on its goal to become a fully SEC-compliant filer and uplist to the OTCBB tier. But the almost 2-years-worth of financial reports that SEEK needs to catch up with are proving to be more difficult than anticipated and the company is still marked with the Pink sheet limited information symbol.

At least we have the financial results for the quarter ending May 31. Back then the company had:

  • $1787 cash
  • $15 thousand total current assets
  • $1.5 million total current liabilities
  • $126 thousand revenues
  • $21 thousand net income

WESTchart1.pngA positive bottom line is not something often seen among pennystock companies but the working capital deficit is still a cause for concern. Investors should also keep in mind that the amount of outstanding shares has reached 2.8 billion. Activity around SEEK is almost guaranteed with the conference call and the expected uplisting but be sure to do your own due diligence before attempting any deals.

Yesterday Andalay Solar, Inc. (OTCMKTS:WEST) continued its downwards slide and dropped to $0.029 after losing another 20%. Amarium Technologies, Inc. (OTCMKTS:AMMG) also finished in the red wiping 17% of its value.

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