After soaring to record highs, TOTALLY HEMP CRAZY (OTCMKTS:THCZ) went down crazily. The company was jolted after OTC Markets group assigned Caveat Emptor to the company on its profile page. The Caveat Emptor is placed on a company so as to alert investors to perform a comprehensive due diligence before taking a position in the stock. A Caveat Emptor designation is assigned when the company is seen to be engaged in the promotion, fraud, unsolicited quotes, suspension halt or other public interest related concern.
Denied authorized promotions
As soon as the warning was raised, TOTALLY HEMP CRAZY (OTCMKTS:THCZ) responded with a brief press note, where it said that the company has not paid for promotions of any kind. The company clarified that any newsletter mentioning does not have any connection with the company in terms of both authorization and compensation. The company reiterated that it aims to establish itself as a leading hemp-based beverage company. Despite those statements, TOTALLY HEMP CRAZY (OTCMKTS:THCZ)’s stock went into freefall.
What led to attention?
Over the last few days, TOTALLY HEMP CRAZY (OTCMKTS:THCZ) garnered the attention of one and all for a successful launch of its Rocky Mountain High Brand on amazon.com. Moreover, the company informed about the signing of a deal with a large and established distributor with respect to the distribution of its products throughout the Texas. Every other day, TOTALLY HEMP CRAZY (OTCMKTS:THCZ) managed to keep the interest of investors intact by publishing one news or the other. However, things did not look good from the inside. The company has minimal assets and revenues and an increasing short-term debt, which fails to convince as to how TOTALLY HEMP CRAZY (OTCMKTS:THCZ) plans to become a leading player in the segment.
During the last trading session, the stock of TOTALLY HEMP CRAZY (OTCMKTS:THCZ) tanked by over 53% and it extended its losses during the afterhours as well, when it further slipped by 5.11% to $0.130. A total of 16.36 million shares traded during the session.