mCig, Inc. (OTCMKTS:MCIG)’s Falls Further, Announces Spin-off
As the charts can attest, mCig, Inc. (OTCMKTS:MCIG)’ descent that started three sessions ago is still going strong.
Yesterday cost the company another 12.92% of its market value. As we’ve discussed before, unlike many other pot-stock companies on the OTC Markets, MCIG is actually an operating entity that is making revenues. However, although its results for the last quarter were not strictly terrible, they were certainly underwhelming:
- cash – $226 thousand
- current assets – $2.1 million
- total liabilities – $6,943
- revenues – $195 thousand
- net loss – $1 million
Under the circumstances, it isn’t all that surprising that investor trust in the company is shaky at best. This is why crashes such as the one it is currently experiencing are to be expected.
The latest development on MCIG is that yesterday it finally filed an 8-K, officially announcing the completion of the spin-off of VitaCig, Inc. The filing was made at 15:55 yesterday, so it didn’t really have much impact on the market, but will probably affect the outcome of today’s session and that of future trading days.
Still, although the spin-off may be a cause for excitement, investors hurrying both on and off the MCIG train would probably be wise to wait until the company’s next financial report hits the wire before they decide on their next move. Said report for Q3 2014 is due in about two weeks and should provide invaluable information on MCIG’s progress as of late.
