Global Gaming Technologies Corp. (BLKCF)

[Monksdream]

The news of the private financing didn't produce a follow through rally. In fact, the volume, almost 400K, was roughly one half of Tuesday's turnover. Where were the traders? The 10 day chart of price/volume results at 15 minute intervals sends a message that this particular issue is quite volatile for a stock priced at slightly over two American dollars.

The deal also indicates that the trading float will eventually increase. One must assume the company issued shares of outstanding stock to the financier. Since the deal consists of units with a warrant to buy an additional share at a future price, there exists the potential that the trading float could increase.

The company said the funds will be used for general corporate purposes which is a standard boiler plate explanation about what it intends to do with the money. Since the Canadian version of the SEC exempts the company from providing a prospectus shareholders and potential shareholders have no concrete idea of the current financial status, etc.