27 Feb American Premium Water Corporation – Blockchain glass half empty
Another day, another attempt by an OTC penny stock to ride the blockchain technology wave to increased share value and stock market interest.
In the case of American Premium Water Corporation (APW) (OTC:HIPH), the glass is definitely half empty when it comes to blockchain expertise and potential.
Feels like more of the same as Riot Blockchain (orig Bioptix), Long Blockchain (orig Long Island Iced Tea) and other similar blockchain tactics.
The company plans to introduce a hydrogen water and CBD-infused water products in 2018.
According to OTC filings, net losses in the past four years were ($7,638,000) in 2016, ($43,289,000) in 2015, ($49,142,000) in 2014, and ($1,340,000) in 2013. At June 30, 2017, the Company had an accumulated deficit of approximately $104 million, a stockholders’ deficit of approximately $3 million and a working capital deficiency of $3,052,798.
LALPINA USA, Inc controls 10,769,740 preferred shares. Alfred Culbreth, Chairman owns or controls 3,000,000 shares of Series A Preferred shares. New CEO Ryan Fishoff has 1,000,000 shares and Zack Davis, former CEO, controls 1,305,000 shares of Series A Preferred stock in the most recent OTC filings.
APW traded at $0.027 to $0.0425 recently on the Pink OTC Markets, which means there are minimal financial reporting requirements.
In a Feb 26, 2018 news release, American premium water announced its plans to pivot to blockchain technology by creating an advisory board and blockchain technology acquisitions:
“American Premium Water Corporation (OTC:HIPH) announces that it has created an advisory board to evaluate acquisition opportunities in the blockchain sector. Multiple private blockchain-related companies who are looking to go public have presented themselves to HIPH. In order to operate on the forefront of cutting-edge blockchain technology, HIPH felt the necessity to create an advisory board with some of the best the blockchain sector has to offer.
“Because blockchain is an open, distributed ledger, it allows anyone to securely enter a business transaction with someone else without needing to go through a trusted intermediary and, with its proven ability to cut out the middleman, while still retaining security, speed and functionality; it is the perfect fit to HIPH’s model as a diversified holding company.” Stated Ryan Fishoff, CEO American Premium Water Corporation. Fishoff continued, “Acquisitions in this space are sure to magnify the strength of American Premium Water Corporation’s (income statement and balance sheet, while maximizing shareholder value, which is our utmost priority.”
Unfortunately, there are no details on where the blockchain technology expertise is inside the company, who the expert Advisory Board members are, and detailed plans for the sector. The APW investor page has no details about the company, management, operations or financials. It’s just a LAlpina water product pitch.
At the close of trading on Feb 26, 2018, the day of the blockchain news release announcement, shares were up 50.18% to $0.0413. By the next day end of trading, shares had dropped back down to $0.030.
On the surface, this looks like another penny stock trying to capitalize on the blockchain technology wave. More information and transparency would help answer Many questions.
Let’s keep an eye on how blockchain technology fits into a water and fashion hat brands portfolio before the SEC takes a closer look.
For now, the glass appears to be half-empty for American Premium Water Corp and a blockchain pivot.
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