Intellicell Biosciences, Inc. (OTCMKTS:SVFC) Attracts Record Levels of Attention

With just one PR article released right when the market opened Intellicell Biosciences, Inc. (OTCMKTS:SVFC) managed to entrance traders to such a degree that they managed to shift the record for the company number of 25 million shares, or more than 14 times the average amount, in just a couple of hours. Despite the positive news the performance of the stock throughout the day was extremely volatile.

Right from the start the stock took a nosedive from its opening price of $0.12 and dropped to $0.1. What followed was nothing short of a roller-coaster ride but ultimately the price per share was sitting at $0.124 at closing time, a 12% increase compared to the previous session.

As we said the reason for all the commotion was a press release announcing that the company’s stem cell product – stromal vascular fraction cells, were successfully used in the treatment of a patient suffering from type I diabetes and a bilateral permanent Bell’s palsy. Shareholders were in a desperate need of such positive news after all they had endured in the past couple of months.

First SVFC managed to move up to the OTCQB tier and become a fully-compliant filer. Well, that would undoubtedly be a huge confidence boost if the newly filed financial reports didn’t reveal the truly dismal situation of the company. For the quarter ending June 30 they had:

• $106 cash!!!
• $66 thousand total current assets
• $10 million total current liabilities
• ZERO revenues
• $3.9 million net loss

Although they also have an accumulated deficit of $35 million things become even grimmer when you add all the troubles they are having with their convertible notes. The outstanding amount of shares has nearly doubled in just three months from 79 million outstanding shares to 140 million as of September 25.

Most of the newly issued shares went to Hanover Holdings I, LLC who have received around 50 million shares since June 17 as part of the court settlement between the two companies and are the likely source for the shares that got dumped on the market yesterday. The same situation may now happen once again with Redwood Management, LLC. buying various convertible notes that SVFC has defaulted on.

SVFC is an extremely risky even among the other medical pennystock companies. If you are looking for a more stable venture to put your money into the stocks of Elite Pharmaceuticals, Inc. (OTCBB:ELTP) and Titan Pharmaceuticals, Inc. (OTCBB:TTNP) are a far better choice.