Creative Edge Nutrition, Inc. (OTCMKTS:FITX) Pops on Internet Commotion
Yesterday Creative Edge Nutrition, Inc. (OTCMKTS:FITX) surged 14% to a close of $0.075 per share. The move was likely heavily assisted by an image that made the rounds on investor discussion boards as well as a post on the company’s Facebook page.
The image in question appeared on a trader discussion forum and was, in a nutshell, a very stupid prank. Someone decided to alter the list of licensed MJ producers maintained on the Health Canada (HC) website and append Cen Biotech Inc. to the licensees. The hugely misleading prank is proven fake easily. One can simply check the actual HC page containing the list of licensed producers. Cen Biotech is not on that list, at least not yet.
It’s understandable that investors are tingling with anticipation and want to see a license confirmation but this sort of fake hype will likely be detrimental to the share price in the longer run. A commenter on FITX‘s Facebook page has also started reposting the same fake list. Thankfully, it seems by now enough people have caught on that it’s a bad joke and are calling him out.
Speaking of Facebook, even though the FITX board of directors decided on May 18 that the company will no longer use the social site as an outlet for ‘disseminating company information to shareholders’, yesterday another hype-inducing post was made using the company’s account. FITX posted a picture of a car, calling it “our Hemp Technologies car. The Kestral” (sic). There was no other info explaining the sudden and bold announcement. Hemp Technologies’ website contains a page with general information on hemp products as well as the car photo put on Facebook but never explains how the company is related to the Kestrel (which is actually how the vehicle’s name is spelled) car project in any way.
Understandably, investors commenting under the post were confused by the fact that FITX is calling the Kestrel “our car”. A comment further down published by the official FITX account states: “We own the molds and plans in conjunction with the composites institute”. What exactly the ‘composites institute’ is or how FITX and its subsidiary are related to Motive Industries, Inc. – the Canadian manufacturer of the Kestrel car, is never really explained. The Motive company logo found on the original image of the Kestrel has been cropped from the version published on FITX‘s Facebook page.
It’s difficult to take FITX seriously when the company can’t even stick to its own decision to keep investors informed through official press releases and not through poorly explained, hype-inducing posts popping up on Facebook. Previous claims made by the company, such as the construction of the “world’s largest and most advanced” marijuana production facility, caused enough of a ruckus for company CEO Bill Chabaan to deny making any such claims in a press release. Strange then, that a PR with those exact words in its title came out on March 21 this year.
How much of yesterday’s jump was caused by the fake Health Canada license image some prankster put in circulation and the vaguely explained car picture will likely become obvious in today’s session.
