The penny stock of Rarus Technologies (OTCBB: RARS) exploded today for a gain of 99.96% on trading volume of 54.63 million shares to close at .5699. It would be too obvious that it is a blatant “p&d” if it gained 100%. As we said time and time again that instead of lining up to try to buy stock in the upcoming Facebook IPO, other social media stocks would be better to invest in. So why RARS stock and what exactly happened with Rarus Technologies?
It’s Coupon central is what it is. When you think RARS, think Groupon (Nasdaq: GRPN) as a penny stock. The message boards are lighting up with the usual predictions of the next SNPK, or the next NSRS penny stock mondo promotion. They should be as well since RARS stock has a similar composition to that of Sunpeaks Ventures and North Springs Resources: Market Cap of 123.90M with 434.75M Shares Outstanding.
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Rarus Technologies announced yesterday that it had got in bed with ThinkCorp AG and acquired Zngle.com in an Exclusive Software Property, Technical Information and Trademark License Agreement for a total of $22 million spread out over 5 years (see here). People are lining up to cancel their Facebook accounts prior to the IPO as we speak to get Zngle with it. Zngle.com, a next-generation software platform designed to take social media to new heights in the way it allows users to connect and communicate with friends, family, and business networks.
RARS Stock Chart:
The Rarus Technologies acquisition of Zngle will attract all of its customers via Augmented Reality Coupons in 3 easy steps. It will be a self-serve coupon feature which should attract both small and large businesses that are hoping to increase their visibility and reach potential local customers through their Zngle Business Pages.
Zngle started one-year ago tomorrow and had virtually no traffic or visitors to their website.
Not much information in the filings as of yet either. Here is what we did manage to pull down:
Manfred Ruf is going to play the part that Harry Lappa played for NSRS and Mckie Brach played for SNPK: CEO of RARS. The Company started where their corporate address is still located; in the State of Nevada back in June, 2010. Only thing, they were HotelPlace Inc. One year later, the Company changed its name to Rarus Technologies Inc.
Their websites are what you would expect a pump and dump to look like:
Basically, this is the pitch:
Since 2011, there were over $300 Billion worth of online discount coupons distributed. This came straight from the CEO of Rarus (see here). Meaning that $300 billion worth of coupons has been circulated in the first 4 months and 9 days of this calendar year?
Based on the research Rarus Technologies thoroughly conducted which must equate for the $232,165 total expenses the Company has reported since its inception as of March 31, 2012. They estimate that over 92 million adult Internet users are expected to use online coupons because you can never have enough buy1-get-1 French’s Mustard on hand. However, with the introduction of their cutting-edge, state-of-the-art, self-serve coupon generator and augmented sharing application, RARS stock is going to go through the roof the way this company can potentially revolutionize the way consumers and businesses create, distribute, promote, and profit from online coupons.
And here is the “pie in the sky”: “If we are fortunate and successful in capturing just half of one percent of the $46 Billion global market, that would result in approximately $215 million in potential revenue for Zngle by 2016.” Manfred Ruf, you have served your pump and dump proud now let’s all make some money on RARS.
About RARS Stock:
RARS reported their 10-Q for the Quarter ended March 31, 2012 as an exploration stage company with no revenues or cash. The Company had mineral exploration activities which included exploring the Pilot Peak Property in California which they acquired in June of 2011. They cancelled the acquisition agreement for the property in January of this year.
In December of last year, right around the time when NSRS stock was beginning to lift off from it’s .07 share price, Rarus acquired a mineral exploration property in Nevada called the Eagleville Property. That has also been cancelled effective January, 2012. Dollars for donuts, after the pump and dump of RARS stock is over and those trading the penny shares make and lose hundreds, thousands, even millions, the Zngle acquisition will most likely be cancelled as well.
Note Well: On June 24, 2011, Rarus Board members approved and implemented a 50:1 forward split of its penny stock common shares. For those of you who are riding your first pump and dump, every one (1) old share of RARS common stock was exchanged for fifty (50) new shares of RARS common stock. Now you have 425 million shares compared to 8.5 million.
So… we have a former mineral exploration company, listed with a SIC code as a 7374 – SERVICES-COMPUTER PROCESSING & DATA PREPARATION, that transformed into a social media giant after increasing the share float? Looks that way. If this isn’t smacking you in the face screaming NSRS and SNPK then how is this for comparison:
- All three were converted shells
- All three increased the float signifcantly before trading
- All three had a huge breakout day
Bottom Line: The penny stock of RARS needs to be on your list of stocks to watch right along side ORYN and SEFE because the new massive pump for May is on. Our long time readers know the drill… trade smart and don’t be gready. Our subscribers know, when we say sell, don’t risk it anymore thinking you have a stop loss order to protect you.
When the dump comes, and it will come, the number of orders to process will not guarantee you get out at the price you have on your stop loss. Remember, you don’t want to be like the guy holding SNPK waiting for the $10 level.