Resource Ventures, Inc. (PINK:REVI) Pump Heats Up
On Friday Resource Ventures, Inc. (PINK:REVI) managed a green close, gaining 38% over the session. The promoters currently touting REVI stock used this opportunity to send another round of emails over the weekend.
The initial round of pumps for REVI sent the price through the roof last Monday. Promoters compensated between $50 and $100 thousand kept sending their emails throughout the week. There are about 70 pump mails sent to date – a factor that probably helped REVI sustain its levels.
The latest touts sent yesterday mostly repeat Friday’s news for a letter of intent signed by REVI to acquire solar power facilities located in Slovakia. The facility in question has managed to generate about $8 million of debt for its current owners – a Czech company, but this is something the pumps fail to mention. According to the LOI, this debt will be assumed by REVI, who will also have to pay an additional $3.6 million to seal the deal. The company may have difficulty delivering this sum in cash, as they had the following financials as per their most recent financial report, dated December 2012:
- zero in cash
- $246 thousand in current liabilities
- $1.5 million in yearly revenue
- $25 thousand in yearly net profit
The relatively respectable revenue for an OTC company ends up as a mere $25 thousand in profit. REVI may be planning to pay for the solar facilities issuing even more shares, after acquiring Global Energy Management, Ltd. (GEM) by issuing 130 million common shares for GEM’s assets, with shares valued at $0.001 per share.
Traders may also find it a curious detail that REVI‘s registered corporate office is located in a luxury residential house in California – cost cutting measures at their best!
Promoters Gain the Green were part of the recent pump campaign for YaFarm Technologies, Inc. (PINK:YFRM) that ran through most of February. YFRM stock price is down 75% from the day Gain the Green stopped sending their alerts for the company.
With at least $150 thousand spent to promote REVI, traders may want to be extra careful, as there’s no way to know when the emails for this company are going to stop coming.
