Shares of LevelBlox, Inc (OTCMKTS:LVBX) caught the attention of investors Friday. What happened and what does it mean going forward.
Until Friday, LVBX was a sleepy little stock no one really cared about. The average number of trades per day was 4 and the 30-day average trading volume was 30,000 shares or about 500 bucks a day. If we take a look at the OTC markets website we see a stop sign on the LVBX profile page and no recent filings, financials, or disclosures.
Then at just about 3 pm Friday, an 8K was filed and LVBX woke up.
LVBX didn’t trade a share all day until the filing was made public at 2:56 then things broke loose for the last hour. Trading opened at .0165 and within 5 minutes hit the day’s high of .08889 before quickly giving up most of those gains. LVBX closed the day at .04 up .0256 for a gain of 178%. Volume was 6.1 million shares on 585 trades.
Item 7.01 Regulation FD Disclosure
In the interest of full disclosure, the Company hereby discloses the following non-public information:
On April 15, 2021, the Company approved the signing of a non-binding Letter of Intent (“LOI”) for the acquisition of Quantum Warriors OU., d/b/a Quube Exchange, (“QUUBE”) a Tallin, Estonia Corporation. The LOI contains a binding confidentiality provision. If after a period of due diligence all terms and conditions are agreed and conditions to Closing are met, definitive agreements would be executed, and Quube Exchange would become a wholly owned subsidiary of the Company. If Closing occurs as anticipated, these transactions could be dilutive to existing shareholders. No assurance can be had that the above transactions will be satisfactorily concluded. If these transactions are in fact concluded, the acquisitions will be reported in a report on Form 8-K.
What happens for LVBX Monday? Only time will tell. Bulls will be excited a company that has been dormant for a while seems to have come back to life. Bears will point out the quick decline from the highs at the end of the day. Put this one on your watchlist to see.