Oriens Travel&Hotel Mgmt. Group (OTCMKTS:OTMH) Shoots Up on Buyout Promise
Oriens Travel&Hotel Mgmt. Group (OTCMKTS:OTMH) jumped successfully over the weekend, with robust volumes and price spikes. So far, nothing unusual for a double-zero stock, shot upward following a promotional email. On top of all, the tourism and hotel company touts the possibility, however vague, that it may be a buyout target. Whether the deal would materialize is beside the point, since the news for it managed to entice enough interest. 
The proposed buyout is for $30 million, a colossal sum, given that the company is capped at only $670,000. The free float is around 25 million shares, and there are around 200 million shares outstanding, with a great leeway for new issues up to 2 billion authorized shares. 
Three hundred percent in two days is not an unusual achievement for a double-zero ticker. But this one is showing strangely solid data, with revenue streams from several businesses. The company has current assets, mostly in receivables, upward of $2 million. Other disclosures reveal:
- $2.9 million total current liabilities
- $44,542 cash-like assets
- $176,429 annual net loss
- $43,993 net cash increase for 2012
But for only $3,000 per email, Penny Stock Gainers turned the otherwise obscure tourist booking firm into a brief sensation. The pumpers promise that OTMH would jump quite a bit more, at least for its fifteen minutes of fame among investors. The emails are quite cheerful, yet despite the fact that OTMH is having lively operations, a very low price almost always means you need to be prepared for sharp corrections.
The recent activity of OTMH recalls that of US Energy Initiatives, Corp. (OTCMKTS:USEI). The penny stock was suddenly popular, but since then the increased activity opened up an opportunity for sellers, and the ticker slid from a cent to double-zero levels again.
Minerco Resources, Inc. (OTCMKTS:MINE) is also seeing increased interest and volumes, as it added more than 42% to $0.002 on a dollar volume of about $200,000. The ticker also recently exploded forth from triple zeroes, and has been all over the place in the past weeks, as a short-term speculative bet.
