Investors Leave Multi-Corp Intl, Inc. (OTCMKTS:MULI)
Some promotions are loud, but the effect on the stocks is small. This is the case of Multi-Corp Intl, Inc. (OTCMKTS:MULI), which only a day after setting a buying record retreated on unseen volumes of selling. The latest promotional email for MULI came on May 6th and caused a strong close. The next day, just a press release aimed to boost the price, but selling happened anyway.
MULI announced the purchase of the 2,800 acre Cave Pool Property in Eddy County, New Mexico, a promising property of oil and natural gas.
More than 1.3 million shares were shed, so this means a lot of investors still remain with their holdings, hoping MULI reaches the predicted price of $1.75. The company is trying to bring about optimism with news of its future development, and the buying up of energy properties. To achieve its goals, MULI will have to rely on the following financials:
- Zero cash
- $123,667 intangible assets, no other cash equivalents or liquidity
- $476,441 current liabilities
- Zero revenues
- $19,742 quarterly net loss
So far, there is little to suggest MULI is capable of large-scale, profitable operations, but still its debt is small. The company traded until last year under the name Aquasil International, Inc. (AQUS) and for a while mulled the name Oveldi Worldwide Shipping Group. There is still a website offering shipping logistics, but MULI seems to be touting an oil business instead, and has forgotten of any know-how or ocean operations.
But the biggest red flag for MULI is that the company has been heavily promoted in a widespread campaign, and may rise and fall in accordance with moods and interest, totally unrelated to the underlying business potential. The highest compensation for this promotion is for pumper SIRI.BIZ, which received $1.2 million, which predicts MULI will run strong for two or three weeks- no wonder, given that such a well-paid campaign could go on for a while, artificially making the prophecies come true.
Another email was sent by well-known pumper David Cohen, and the message cites a report about MULI that no longer appears on the Internet, by a little known private equity analyst. The report is a 20-page official-looking paper, produced for a fee of $5,000 from a third party, Atlantis Properties, Ltd. , which is one of the insider investors in the company. This may mean insiders may decide to sell and depress the price, which seems a bit too high for a cashless exploration oil company.