IRVINE, CA / November 6, 2017 / Central Wireless, Inc. (OTC: CWIR) (the "Company," "We"), an acquisition holding company, announced the Company's comments on recent developments in its stock price and trading performance.
The Company is confident that the main reason of the investors' interest in its stock is our management experience, business model and potential long term performance. We have been pleased to announce a few of the positive developments with our business, which we believe to have been the procuring cause of investors' buying our stock at or about the times when the Company announced such good business-related news or has investor presentations. At the same time, we became aware of the efforts to promote our stock by penny stock-touting websites, newsletter publishers and IR marketing services, unknown to and unaffiliated with the Company. We first noticed that activity on Friday, November 3, 2017, and observed the same type of efforts recently.
It is our understanding that such promotional activities happen when companies quoted on OTC Markets publish news, which cause the prices of their respective stocks to move. Third party stock promoters scan the market, mention stocks, which they find on the move, to their subscribers, claim credit for such moves, and solicit payments from both subscribers and others.
We do not believe that such promotional activities unauthorized, unrelated to, and not approved by the Company, can cause a significant number of investors to buy our stock. We strongly believe that the main reasons for the investors buying the stock of our Company have been our acquisition business model and management’s experience to execute. Unfortunately, the activities of third party stock promoters seeking to exploit positive developments in our business and appreciation of our stock price have a clear adverse effect on our stock price as follows. Apparently, market makers engaged in predatory short selling are among the most active subscribers to the services of such stock promoters. The Company may be addressing this with the market regulators, including naming the most active short-selling market makers, in a hope that both OTC Marketplace and FINRA interfere with their predatory market price manipulations.
It is our obligation to OTC Marketplace and the investors to hereby state that after inquiry of the Management of the Company, we have determined that the directors, control persons, its officers, directors, or any controlling shareholders (defined as shareholders owning 10% or more of the Company's securities) have not, directly, or indirectly, been involved in any way (including payment of a third-party), with the creation or distribution of promotional materials related to the Company and its securities. Furthermore, after inquiry of management, we have determined that the directors and control persons, the Company, its officers, directors or any controlling shareholders have not sold or purchased the Company's securities within the past 60 days. Furthermore, Management doesn’t currently own any common shares of stock.
In order to further address the concerns related to the unauthorized promotional activities the Company will have our legal counsel contact OTC Markets as soon as possible. We are highly confident that this issue will be resolved in a timely manner. Unfortunately, OTCMarkets will not remove Caveat Emptor status for a mandatory 30 days. We will continue with business as usual and move forward with executing our business model.