Atlas Cloud Enterprises (CSE: AKE) got our attention much like the rest of the market back in the middle of October when the stock shot up around 100% in a single day and traded almost 5 million shares.
We send out a brief tweet on this, as it was out of the ordinary but not uncommon for the modern markets and what has been happening whenever someone peppers that sweet-sweet word B-L-O-C-K-C-H-A-I-N into a news release.
Alas there was no big news release, but they did release some information on a $3M private placement to acquire new computer hardware, expand its current operations and for general working capital purposes.
The next bit of news was that they issued 4.21M shares for debenture repayment.
That’s all great but didn’t really explain the bump as the stock kept on climbing. It sits around $0.45 a share and trading has been very sporadic.
We looked at the business and what might explain the rise.
Atlas Cloud Enterprises’ plan is to become a leader in providing Cloud Computing, offering tailored Co-location and flexible Cloud Computing options for small and medium businesses.
They have a tier 2 data center in Vancouver. What’s a data centre you may ask? It is temperature controlled room stuffed with fiber optic cables and server racks with hardware.
Think of it as an outsourced IT room, where all the equipment and hardware are handled in a safe location by someone else.
Hmmm, a room that is the same as crypto mining facility? That might explain part of the bump as some people may have been looking at the potential of the facility of other uses……
Either way, the stock sits at $0.45 a share with a market cap of around $8M with no major news flow.
I can only imaging what would happen to the stock if they issue some substantial news.
Fortune favors the bold!