Beyond Commerce Inc (BYOC)

[sundownsam]

Even though institutions can trade penny stocks they usually avoid them for 4 reasons:

Minimum Market Cap. “Many funds will have a minimum market cap requirement, and even where this is not an official policy, we often find that fund managers draw their own line in the sand.”

Liquidity Concerns. Many fund fear getting stuck in an illiquid holding.

Corporate Governance. Institutional funds are concerned with poor levels of corporate governance and disclosure among microcaps, “a perception reinforced by high profile corporate scandals.”

Materiality. No matter the size of investment, fund managers must perform a similar level of due diligence for each investment. The size of microcaps compared to the size of most institutions means a meaningful investment cannot be made.

If the above is the case most likely it was a small institution that invested $1 million. Could be an acquaintance and if so then that news meant nothing, at .01 I will sell 2/3 of my position.