{"id":6891,"date":"2015-09-17T13:13:13","date_gmt":"2015-09-17T13:13:13","guid":{"rendered":"\/?p=6891"},"modified":"2015-09-17T13:39:27","modified_gmt":"2015-09-17T13:39:27","slug":"arch-therapeutics-inc-otcbbarth-stumbles-hard","status":"publish","type":"post","link":"\/articles\/arch-therapeutics-inc-otcbbarth-stumbles-hard\/","title":{"rendered":"Arch Therapeutics Inc. (OTCBB:ARTH) Stumbles Hard"},"content":{"rendered":"\n

Arch Therapeutics Inc. (OTCBB:ARTH<\/a>) lost 12.50% of its market value yesterday, on a heavy dollar volume, in spite of the lack of developments surrounding the company. <\/p>\n

Since there are no news, filings or social media events related to ARTH<\/a><\/strong> and the company’s management team has been quiet for more than a week now, the ticker’s crash can likely be attributed to something more insidious.<\/p>\n

Let’s take a look at some facts. At the end of June, ARTH<\/a><\/strong> made a placement and sold 14.4 million units, each one of which consisted of 1 common share and 1 Series D warrant for the purchase of 1 share for exactly $0.25. In the last six months or so 10 million shares have been issued through the exercising of of Series A and Series C warrants alone. The good news is that as a result ARTH<\/a><\/strong> has received $2 million worth of funds to fund its operations. However, as of August 5 the company had around 100.6 million outstanding shares.<\/p>\n

Which brings us to the point. There is still plenty of ARTH<\/a><\/strong> debt floating around, and the ticker’s upward movements in the last few sessions had created an excellent opportunity for noteholders to do what OTC Markets investors fear most – convert outstanding debt into stock below current market prices and then dump it on the market.<\/p>\n

Of course, there’s no way to know that this is exactly what happened yesterday, but the timing of the crash looks awfully suspicious, so investors would do well to consider this very real possibility.<\/p>\n","protected":false},"excerpt":{"rendered":"

Arch Therapeutics Inc. (OTCBB:ARTH) lost 12.50% of its market value yesterday, on a heavy dollar volume, in spite of the lack of developments surrounding the company. Since there are no news, filings or social...<\/p>\n","protected":false},"author":4,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[1],"tags":[790],"class_list":["post-6891","post","type-post","status-publish","format-standard","hentry","category-news","tag-arth"],"_links":{"self":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/posts\/6891","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/users\/4"}],"replies":[{"embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/comments?post=6891"}],"version-history":[{"count":0,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/posts\/6891\/revisions"}],"wp:attachment":[{"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/media?parent=6891"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/categories?post=6891"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/articles.thehotpennystocks.com\/articles\/wp-json\/wp\/v2\/tags?post=6891"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}