dZ9DDOB

Propanc Health Group Corp (OTCMKTS:PPCH) Takes A U-Turn

On Tuesday’s trading session, stock of Propanc Health Group Corp (OTCMKTS:PPCH) simply exploded surging over 500% up the chart to close at $0.0229 on a massive volume of 125 million shares. However, after making high of $0.042 in the week, the stock price of PPCH retreated and closed in red. The share price declined more than 18% to close at $0.0154. The daily volume was again massive with more than 37.02 million shares being traded.

The warnings

Despite the massive run in the week, Propanc Health Group Corp (OTCMKTS:PPCH) is surrounded by red flags. It is trying to develop innovative cancer treatments but presently they are at the very initial state of the long process towards commercialization. In February, the company informed that they will move forward with animal trials and as the results will be used to support a pre-IND with the FDA. If the regulatory body approves the presented data, Propanc Health will move forward to perform several clinical trials that span several years.

The dismal performance

Propanc sharp run on Tuesday was not at all supported by its dismal financial numbers. As per the last quarterly report, the company had 14,600 cash and $1.9 million of total current liabilities. The total assets were $53,000 and working capital deficit was around $1.8 million. It is one of those companies with zero revenue. The net loss in the quarter was $345,000 with an accumulated deficit of almost $18 million.

The dilution

As per Propanc’s last report at the end of October 31, 2014, the company has 82.5 million outstanding shares. The number surged to 191.6 million in a matter of three months, indicating an alarming situation. The company issued 50 million shares to its directors at a price of $0.0025 each. It even issued over 15million shares for reducing almost $52,907 in the owed liability. The financial numbers clearly warn investors on company’s operations and performance.

Related News

Leave a Reply

Your email address will not be published. Required fields are marked *

Copyrıght 2015 traders350.com. All RIGHTS RESERVED.