Swingplane Ventures, Inc. (OTC:SWVI) Postpones Deal Closing
Yesterday Swingplane Ventures, Inc. (OTC:SWVI) regained some of the losses from Tuesday closing up 12.86% at $0.395 per share on 8.1 million shares.
Shortly after the close SWVI issued a press release saying all of the initial payments for the option on the Algarrobo property have been made. At first blush this may sound as good news. However, if one were to dig a bit things don’t look rosy.
The press release reveals that, as suspected, the acquisition of Mid Americas Corp. hadn’t been completed, and in fact, it still isn’t. For those that don’t remember, the deal was supposed to be closed on or before Jan. 31. This press release gives a new date – Feb. 15.
There are many conclusions one could draw from this announcement. For one, SWVI‘s “expectations” don’t necessarily match up with reality. Secondly, and maybe more important, SWVI referring to the Algarrobo property as their property has been inaccurate if not downright misleading.
Meanwhile the pumpers at Awesome Penny Stocks (APS) are hard at work trying to further inflate the price of SWVI. Alongside the usual baseless claims to future glory for SWVI, APS quotes a $10 price target from a “research firm.”
Traders shouldn’t get duped by this. The firm in question is Research Capital Investment (RCI). It’s nothing more than a paid advertiser for penny stocks. Mind you, they don’t advertise the products of the companies, but their stock.
While the “featured companies” section conveniently only lists SWVI, a side panel shows that the sam “research firm” covered Grid Petroleum Corp. (PINK:GRPR) in August, 2010. As you can see on the chart, GRPR is down about 99% since that time.
Additionally, the “research report” on SWVI has an unsightly disclaimer which says “Do not base any investment decision on information in this report/release/advertisement.” It also shows that RCI has been compensated $6 thousand to write the advertisement.
The red flags around SWVI just keep piling up, but there are plenty of traders willing to play pump jobs, and there is a distinct possibility SWVI may go higher before reality overwhelms the illusions and hype created by the pump job.
