Vopia Inc (OTCBB:VOPA) Gets on the Move
Back in December 2014, the people behind Vopia Inc (OTCBB:VOPA) were saying that they are in the process of developing what they said is “the largest platform online for local reviews, daily deals and company sites for small businesses”. They were also saying that the platform in question will become “the new YouTube for small businesses”. In other words, they were getting very optimistic about the future, and when penny stock companies get very optimistic about the future, things usually end up badly wrong.
In VOPA‘s case, however, the ticker was simply too illiquid to do any damage. Investors sternly refused to pay any attention and over the next several months, it looked like the management team have given up on trying to attract them. In October, they said that they are developing a mobile application which is supposed to be launched in early December, but once again, investors remained uninterested.
Yesterday, however, the stock was stirred up all of a sudden. It was pretty flat during the first hour or so, but it then started running in the right direction. A few minutes into the climb, it hit an intraday high of $0.37 and although it later slipped back down, it stopped at $0.29 which is still a hefty 42% in the green. At $114 thousand, the dollar volume was also pretty substantial and it does pose the question: “Why did investors suddenly start paying attention?”.
It might be due to the approaching launch of VOPA‘s mobile app, though considering the lack of buzz around the social media and internet forums, it is really difficult to say.
One thing is for sure – the spike has nothing to do with the latest 10-Q. Two reasons for this – 1: the report in question covers the quarter ended July 31 and it was published more than two months ago; and 2: it looks like this:
- NO cash
- current assets: $4,794
- current liabilities: $76,300
- NO revenue since inception
- quarterly net loss: $20,385
For the time being at least, there are no traces of a paid promotion, but we should probably note that we won’t be surprised if we see a pump in the foreseeable future. That’s because there are some people who could benefit from such a pump.
Back in 2013, the company was called Blue Fashion Corp and it was trying to have its stock listed on the OTC Markets. An S-1 was filed, a notice of effectiveness was given, and on October 25, 2013, the company sold 1,545,000 of its IPO shares for a grand total of $15,450.
The business plan and company name were changed in August 2014 and a couple of weeks later, VOPA also effected a 20 for 1 forward split. This means that the people who bought the aforementioned IPO shares suddenly found themselves holding on to exactly 30,900,000 shares of common stock. Considering the horrific lack of volumes displayed by VOPA over the last year, there’s a great chance that those people might still have some stock left. And they might be eager to unleash it on the open market.
