Halitron (OTCMKTS:HAON) Gets A Close Look

Over the past two months, there's been a surge in the trading volume of Halitron (OTCMKTS:HAON), the manufacturing company. This interested the Insider Financial team to take a close look at what's happening. It turns out that HAON has put out a large amount of positive news, which excited the market. The company has made announcements regarding its negotiations with lenders in May and put out the final sale of two brands for over $3 Million. In this piece, we will present you all the details. Before any assessment, have a look at the most recent share price action. Don't forget to note the rising volume; for some days, more than 600 million shares changed hands.SourceHalitron Inc.Let's review a little the business objective of HAON. It is a company engaged in the business of acquiring sales, marketing and manufacturing businesses, and transferring them into the company’s own infrastructure to achieve cost and operational efficiency.Now, let's move on to the most relevant news. On February 27, 2017, the company announced the merger transaction, on which Halitron Inc. had been working on for over three months. The merger transaction involved Halitron Inc. spinning out two of its wholly owned brands to a public company. Halitron Inc. expected that the platform provided by the acquiring company would put Halitron Inc. as a major competitor for companies in sectors like social marketing and public records research. Once the merger closed, the shareholders of Halitron Inc. would receive 40 shares from the acquiring company for every 1000 shares they own in Halitron Inc. Halitron Inc. made another press release on May 13, 2017, which came as a confirmation and update over the earlier press release made on February 27, 2017. In addition, the press release also contained statements of Bernard Findley, the CEO of Halitron Inc. Bernard Findley confirmed that Halitron Inc. is making expected progress and further stated:

“We believe that this will open more doors for us, in terms of not only access to capital but also, an increasing number of future acquisitions.” Source

Halitron Inc. provided its shareholders another update through a press release on July 12, 2017, wherein Halitron Inc. confirmed that it reached the final stages in the completion of audit, which was expected to be completed by the end of July. Furthermore, the press release also confirmed that the price negotiation is also at the final stage.Additionally, the press release made on July 15, 2017 by Halitron Inc. announced the closure of a debt transaction and the cancellation of share reserve agreement. The reason behind the cancellation was the belief of the management that Halitron Inc. could honor the debt commitments through upcoming transactions and could further develop the growth model of the company.

"Management decided it was in the best interests of Halitron, Inc. shareholders to negotiate the closure of the Section 3(a)(10) agreement with Northbridge Financial. 1.3 billion shares, if issued, would have totaled 31% of total shares outstanding upon conversion" Source

Finally, in the press release on July 19, 2017, Halitron Inc. made an announcement over the sales of its two brands, namely Archival Photo Pages, and Archival Museum Supplies, to Life’s Time Capsule for a price of over $3 Million. Life’s Time Capsule made the payment in shares from restricted common stock and preferred stock C. Halitron Inc. plans to retain the preferred stock C for some time and issue them to its shareholders on September 29, 2017. ConclusionHAON has made a lot of progress this year, which the market has celebrated. The announcement of the spin out of the brands was very positive for the stock price. Additionally, the work of the company with the auditors to prepare the regulatory documents was also celebrated by the market in May. Additionally, the cancellation of share reserve agreement is very positive, as it diminished the risk of equity dilution. Finally, the recent sale of the brands showed the growing demand for the company's divisions. To sum up, this is a name to follow closely. The share price is on the uptrend and it looks set to continue if the positive news flow continues.We will be updating our subscribers as soon as we know more. For the latest updates on HAON, sign up below!Image courtesy of Lara Wilson via FlickrDisclosure: We have no position in HAON and have not been compensated for this article.