Yesterday’s session saw American Green, Inc. (OTCMKTS:ERBB, ERBB message board) close down again. This was the ninth red session in a row for the company. ERBB dropped another 6.8% to a close of $0.012 per share. Share volume picked up considerably, at 38 million shares – the most ERBB shifted in over a month.
The company’s price has been simmering down ever since ERBB last dropped a press release on October 1. It was a largely inconsequential bit of news and informed that ERBB retained the services of Jerry Chesler, a business attorney specializing in medical marijuana.
With October slowly creeping to its conclusion, the clock is ticking down on ERBB. The company has just over two weeks to deliver on the latest of its line of promises to actually deploy its ZaZZZ pot vending machine in multiple states across the U.S. In late September the company promised the nation-wide launch of the vending machine was going to happen in October.
Left without the support of any more PR to keep traders excited, it seems ERBB is having a very hard time maintaining even the modest prices it descended to, after trading over $0.10 per share in April. If the company does deliver on its announcement this time around and the machines appear in multiple new states, the price will no doubt react favorably. However, if ERBB drops below the psychological divide of a cent per share and starts trading at double zeroes before any news arrives, things may escalate further.
On the financial side of things, the company’s annual report confirmed that toxic financing is still taking place, with $1 million in new debt issued over the three months ended June. The notes convert into common shares at a massive discount, at around $0.0005 for the next couple of months.
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