MCW Energy Stock Up 20% One Week After Smallcaps.us Recommendation
Last week, we recommended MCW Energy Group (TSXV:MCW – $1.01 & OTCQB:MCWEF – $0.90), not only because it has an environmental friendly technology with which it can produce oil from oil sands at $35 per barrel, but also because it had recently demonstrated the validity of its technology on the oil sands of Utah. In other words, the company had gone through much of its de-risking cycle, so it was an ideal time to get on board.
Smallcaps.us recommended the stock last week at $0.87, and it closed yesterday at $1.01, up 20%. During the week, the stock reached a high of $1.14, up 31% compared with our recommended price.
Similar to what happened with Innovative Food the week before, smart investors recognized the opportunity and bought shares.
MCW announced this week that it completed a non-brokered private placement financing by issuing 106,847 common shares at a price of $0.84 per share. These proceeds will be used for general corporate purposes and working capital.
In addition, the Company entered into an agreement with an arms-length service provider, pursuant to which MCW will issue an aggregate of 199,669 common shares in satisfaction of indebtedness of US$151,278 currently owed to such service provider. MCW determined to satisfy the indebtedness with common shares in order to preserve its cash for use on the construction of its extraction technology in the Uinta Basin of Utah, USA.
There are many more small cap companies out there with extraordinary products or services that are trading at bargain prices. You can bet we will continue to feature them on Smallcaps.us.
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