The Emails Stopped But The Pumping Continues For Endexx Corp (OTCMKTS:EDXC)

July 2003, Arizona. The publicly traded company that is now known as Endexx Corp (OTCMKTS:EDXC) is called PenaMed Corp. and it would appear that some people are not too happy with them. There was a complaint filed with the SEC according to which PanaMed’s officers have issued some misleading press releases that made quite a lot of people invest in the company’s stock. Then, the next annual report was never filed which enraged the investors and made them lose money. The documents show that the allegations turned out to be founded (at least that’s what the court thinks) in the end and PanaMed were forced to pay some civil penalties.

But let’s not get too carried away with the history lessons. That was quite a while ago, PanaMed is no more and the only thing connecting it with the current Endexx is the fact that the two company’s offices are located in the same quiet town of Cave Creek, Arizona. SEC filings from years gone by show that PanaMed actually featured a real address on their documents, while Endexx prefer to go by anonymous P. O. boxes, but we already talked about that in our previous article.

We also mentioned that we were rather confused by their newest and, supposedly, very exciting project – the m3Hub. We gathered from the press releases that it’s supposed to have something to do with the medical marijuana industry, but after spending quite a lot of time clicking all the links on the website, we could fathom nothing.

Luckily, a website called Small Cap Voice (SCV) were on hand to help us. On May 9 they issued a press release in which they said that they have made an interview with EDXC‘s CEO, Mr. Todd Davis. We wondered for a little why would SCV choose EDXC of all the companies out there, and a few clicks on their website revealed the answer – they have been paid to do so.

That’s right, SCV’s disclaimer states that they have received $2,500 from a third party for thirty days of service (whatever that means) and EDXC is not the only ticker that has been featured in their interviews. SCV received $5 thousand for their campaign on WebXU Inc (OTCBB:WBXUE) about a month ago, however, as you can see from the chart on the right, things have not been going too well.

But let’s focus on EDXC. We are happy to report that we have finally managed to understand what the revolutionary m3Hub platform is all about. It’s rather difficult to explain, but we’ll try anyway.

It is going to be something like the Google Search for medical marijuana. Basically, if you need a hydroponic system or, in fact, any sort of marijuana related piece of technology, equipment or know-how, you can simply log into m3Hub and you will be able to find a company or a person that is able to provide you with what you need. Mr. Davis talked at length about the experience that EDXC have working with those sort of things and the expertise that some of the people in his team possess and it all sounds great.

In addition to the medical pot platform, Mr. Davis also talked about the one of EDXC‘s other subsidiaries – Global Solaris Group and he said that this daughter company recently won a building project in Arizona. It will start in about six weeks and that sounds even more impressive.

He also said that they are developing a brand new mobile phone app technology and, basically, when you listen through the whole 19-minute interview, you get the feeling that it gets better and better all the time. But let’s not get too excited.

While the website for m3Hub appears to be live, there is nothing to suggest that the platform itself is operational. We have no way of knowing how EDXC are going to raise money out of it, but we reckon that before they start doing it, they will need to have quite a lot of clients and visitors on their website – something that could take some time.

Then there’s the story of Global Solaris. Mr. Davis says that they have won a building project through this entity but having read through EDXC‘s latest financial report, we can’t really understand what he’s on about. As we mentioned in our previous article, the information is as up-to-date as it gets, but unfortunately, it doesn’t sound too good – as of the end of March the current liabilities amounted to $1.4 million while the “current assets” and “revenues” sections were filled with zeros.

With all that in mind, we reckon that Mr. Davis and EDXC have a tall mountain to climb and while the constant awareness campaign might give the ticker a little boost, the effect will probably be short-lived, which is why we would advise you to be extremely careful when considering EDXC as an investment option.