Red Giant Entertainment, Inc. (OTCMKTS:REDG) Rears Its Head Yet Again
After bumbling around in double-zero land for the past seven months, yesterday Red Giant Entertainment, Inc. (OTCMKTS:REDG) cropped up on people’s radars as the ticker shifted heavy volume yesterday. Over 223 million REDG shares changed hands yesterday, bringing the price 43% up to a close at $0.0023.
REDG is likely the biggest OTC sob story of early 2013. The stock came out of nowhere, driven by one of the last big and expensive pump campaigns, with a disclosed compensation of $500 thousand. After running to over $0.20 per share, the price dropped about 90% in less than a month, dragging many hopeful investors down.
Nothing really ever happened with REDG‘s business since then, barring terrible dilution. REDG went from 457 million shares in November 2013 to its last reported 2.17 BILLION shares in July 2014. The company’s fiscal year ends in August, which means the annual report is due sometime this week. Until this is out, investors can take a look at REDG‘s last quarterly:
- $44 thousand in cash and cash equivalents
- $2.5 million in current liabilities
- $6,457 in quarterly revenues
- $5 million in quarterly net loss
Those numbers are probably enough to show how well the company’s comic book business is doing. REDG recently recruited famous Youtube celebrity Mark ‘Markiplier’ Fischbach to the company’s board of directors in a supposed attempt to make a new stride in what CEO Benny Powell refers to as the ‘transmedia landscape’. It may be wise for REDG to find its footing in the actual world of old-fashioned, printed media and start generating sizable revenues through that before exploring the world of transmedia.
The company’s annual report will show whether REDG actually managed to realize sizable revenues from its comic book business and just how many new shares were issued between July and November.
