It has been a busy week for Momentous Entertainment Group Inc. (OTCMKTS:MMEG), the online social media network company. The volume seen in August has been astonishing. More than 600 million shares changed hands in a few days. Is this the start of a share price rebound? Have a look at the recent share price action before we tell you what's new in the ticker:
Business and Recent DevelopmentsMomentous Entertainment Group, Inc. (MMEG) is an online social media network company, which has three main activities: social networking, social gaming, ecommerce sold consumer products and services, and OTT (Over-The-Top) streaming media content creation and distribution. According to MMEG, its platform has a million online registered users, which is an astonishing amount of participants.On July 6, 2017, the company put out that Chimera® classic games titled "The Mob: Rise of the Don" is now available in Russia on the VKontakte (VK) social media platform. According to the same press release, the game is played worldwide in over 40 countries by a million users on FB and at the Internet site www.ChimeraCompanyGames.com. The fact that the company is now available in Russian is a great news."VK in Russia has over 420+ Million users and is ranked 5th on SimilarWeb's list of worldwide websites with the most traffic. This new launch on VK significantly increases the available worldwide audience for The MOB: ROTD game." SourceMomentous CEO, Kurt Neubauer, stated:
"With recent major technology enhancements made to the game which allow fast language translation and game localizations, Chimera® is able to quickly provide local language versions and will be moving to launch 'The MOB: Return of the Don' in local languages and on other social media and gaming platforms around the world." Source
Additionally, on June 6, 2017, the company put out that it had issued an Audio Investor Update in order to answer specific questions from investors and shareholders. Readers can access it here. In the audio, we could hear new information regarding the M&A strategy of MMEG. Momentous CEO, Kurt Neubauer, explained in following words:
"With recent developments in the Company's acquisition strategies and projects, it became increasingly evident the Company could not fully tell our story with only a written press release. This is one of the major reasons we decided to bring these audio updates out. We are very excited about Momentous' future and the acquisition strategy path we are on." Source
The company is a serious M&A player- On February 8, 2017, it noted the acquisition of Poolworks Germany Ltd ("Poolworks"): one of the largest social media companies in Europe with its social networks studiVZ and meinVZ. $10 million in preferred stock were paid.- On February 8, 2017, a Letter of Intent to acquire NEUROFUSE ("NEUROFUSE") was announced. It is an ecommerce retailer that provides cutting edge, scientifically advanced nootropic supplements.- On March 13, 2017, Chimera© Games ("Chimera") was acquired- On April 25, 2017, a Letter of Intent to acquire BLACKFOX.IO ("BLACKFOX") was put out. The target is an advertising network explosive that experienced high growth in 2015.The readers should remark that many of the agreements were Letters of Intent and the news regarding the acquisition agreements may be put out soon. This event may be a catalyst for the stock.Major Holders and Financial StatementsWe appreciated the following statements of ownership that some directors disclosed.
InsiderTransactionTypeValueDateSharesNEUBAUER KURT E JROfficerStatement of OwnershipDirectJun 10, 201521,250,000
PEPE JOHNOfficer
Statement of OwnershipDirectJun 10, 201520,250,000
WILLIAMS TIMOfficer
Statement of OwnershipDirectJun 10, 20154,001,800
WILLIAMS TIMOfficer
Statement of OwnershipIndirectJun 10, 20158,000,000SourceThe following are the financial statements that were put out by the company. Note that the amount of cash on the balance sheet has increased.Period Ending12/31/201612/31/201512/31/2014Current AssetsCash And Cash Equivalents15.7040.01410.744Short Term Investments---Net Receivables---Inventory-5.98455.149Other Current Assets70.9441.425442.677Total Current Assets86.64447.423508.57Long Term Investments---Property Plant and Equipment---Goodwill---Intangible Assets---Accumulated Amortization---Other Assets---Deferred Long Term Asset Charges---Total Assets86.64447.423508.57SourceAdditionally, the following are the liabilities of the company. Note that the company has no long term debt.Accounts Payable565.462537.417676.958Short/Current Long Term Debt1,118.044384.4228.08Other Current Liabilities---Total Current Liabilities1,683.506921.817905.038Long Term Debt---Other Liabilities---Deferred Long Term Liability Charges---Minority Interest---Negative Goodwill---Total Liabilities1,683.506921.817905.038SourceConclusionThe recent increase in the volume of MMEG drew our attention to the company. We saw that one of the company's subsidiaries had released "The Mob: Rise of the Don" in Russian. This is a great news, but we don't believe that share purchase orders are coming only because of this reason. In our opinion, the company is growing through acquisitions at a high pace, which is driving the volume up. We found out that the company has been acquiring a large amount of other businesses and has also signed a significant amount of Letters of Intent. We need to be alert, as this means that the company may be working on new acquisition agreements, which will be a catalyst for the stock. Hence, be alert on MMEG.We will be updating our subscribers as soon as we know more. For the latest updates on MMEG, sign up below!For the full story, check out our complete coverage on MMEG.Image courtesy of Jason Howie via FlickrDisclosure: We have no position in MMEG and have not been compensated for this article.
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