Topic: How To Invest

Spinoffs, Takeovers & Special Situations Hotline – Friday, January 26, 2018

Article Excerpt

LONG BLOCKCHAIN CORP., $3.38, symbol LBCC on Nasdaq, was formerly a maker of iced-tea drinks, operating under the name of Long Island Iced Tea Corp. On December 21, 2017, it announced that it was changing its name to Long Blockchain Corp. and it would actively pursue blockchain investment opportunities and partnerships. As a result, the company’s stock jumped 287.3% in a single day of trading from around $2.50 to over $7. The company’s plan to move into this “hot” area make it a “special situation.” However, it has since lost much of those gains. On January 5, 2018, Long Blockchain said it would sell 1.6 million shares at $5.25 each to help pay for the acquisition of blockchain technology, which verifies, or “mines,” bitcoin transactions. The company called off the share offering 11 days later and instead announced it would merge in an all-stock deal with Stater Blockchain Limited. That firm creates blockchain technology for the financial services industry; it also owns a..