Mind Solutions Inc (OTCMKTS:VOIS) Fails To Excite Investors
On April 28 Mind Solutions Inc (OTCMKTS:VOIS) opened the pre-orders for the NeuroSync, the world’s smallest Brain-Computer Interface device. The company will allow its shareholders to pre-order the product at a discounted price of $99 compared to the expected retail price of $129. Just two days later the company announced even bigger news – they had signed a Master Distribution Agreement for retail sales of the device on Amazon.com throughout the United States and India. According to VOIS the NeuroSync should hit the market in the next 8-10 weeks.
The combination of the two events should have caused the stock of the company to soar up the chart but unfortunately that wasn’t the case. It is true that as a result of the Amazon PR investors traded the record number of 290 million shares and the ticker closed with a 10% gain on that day. The performance of the ticker during the trading day wasn’t entirely positive though as it closed at $0.0022 below the opening price of $0.0023. On the very next day the positive momentum had disappeared completely and VOIS corrected by 4.5% closing at $0.0021.
It seems that investors are still reluctant to put their money in the company and taking into account the serious red flags around VOIS the use of caution when approaching the stock is more than justified. On March 10 Mind Solutions filed their annual report for 2014 and it contained some rather depressing numbers:
• $113 thousand cash
• $166 thousand total assets
• $3.1 million total liabilities
• $100 thousand annual revenues
• $1.4 million annual loss from operations
An even bigger issue than the lackluster financials however was the massive dilution of the common stock. Just for 2014 the outstanding shares of the company ballooned from 36 million to over 1.38 BILLION. Less than three months into 2015 VOIS had reached 1.74 BILLION outstanding shares. 1.1 billion of the shares issued last year had a conversion price of $0.0008 while 304 million of the share issued in January and February this year were priced even lower at $0.00048 per share.
Some investors were also alarmed by the Form 4 filed on April 23. It revealed that between April 1 and April 15 the CEO of the company sold a little over 14 million of his shares on the open market. It should be noted that the last trade in the filing took place on April 22 and was actually a buy – Mr. Kerry Driscoll bought close to 3.4 million shares at $0.0022 each.
By the end of next week VOIS should file their financial report for the first quarter of the year. If the report shows a similarly depressing numbers and continued issuance of discounted shares through the conversion of debt the stock of the company could experience even harsher price corrections.
