Spherix Inc (NASDAQ: SPEX) is having an incredibly strong start to the trading session this morning, and for good reason. The company announced that it has secured an ownership interest in a new industry. Of course, the news excited investors, sending the stock on a run for the top. Today, we’ll talk about:
- The ownership interest announcement;
- what we’re seeing from SPEX stock as a result; and
- what we’ll be watching for ahead.
SPEX Announces Electric Scooter Ownership Interest
As mentioned above, Spherix is having a great start to the trading session this morning after the company announced ownership interest in a new industry. In a press release issued early this morning, the company said that it has secured an ownership interest in Mellow Scooters.
Mellow Scooters is a leading-edge company that is designed to enable anyone to own and operate a personal fleet of electric scooters and dockless bicycles to generate revenue. The company’s system is targeted to entrepreneurs to operate a local business leveraging the company’s proprietary software.
In a statement, Chris Hoyle, CEO at Mellow, had the following to offer with regard to the SPEX announcement:
We believe in empowering citizens, small businesses, and cities to localize operation of shared vehicles and keep the generated revenue for schools, infrastructure and the betterment of their own shared spaces. We have closely studied this fast-growing area of human transportation and believe we have identified a tremendous opportunity to change who can participate in this developing space. The core of Mellow’s business, enabling local economies to keep revenue generated through transit, is an equitable approach designed to provide a safer, more stable environment. Instead of giving a distant business control of a city’s transit, cities and small businesses can elect to run their own Mellow operation and harness revenue from last mile transit. The current state of private companies taking advantage of city resources (i.e. sidewalk space, emergency dispatch teams, transit revenue) appears to be unfair and potentially unsustainable in the long term.
The above statement was followed up by Anothy Haves, CEO at SPEX. Here’s what he had to offer:
Leading up to our acquisition of CBM BioPharma, Spherix had been incubating Mellow and we are proud of its advancements. Mellow is uniquely positioned to take advantage of a gap in the rapidly growing electric scooter and bike sharing business and we are proud to now own twenty five percent (25%) of Mellow. Chris Hoyle is an exceptional, bright entrepreneur and we are excited to support his vision. Our ownership interest in Mellow gives our shareholders the potential opportunity to participate in the electronic scooter and bike sharing industry, while Spherix continues its commitment to the acquisition of CBM and the advancement of its important cancer fighting drugs.
What We’re Seeing From The Stock
One of the first lessons that we learn when we start to work in the market is that the news leads to moves. In the case of SPEX, the news proved to be overwhelmingly positive. After all, the company is entering into a new industry that is filled with opportunities for potential revenue. So, it comes as no surprise that investors are reacting in a positive way. As is just about always the case, our partners at Trade Ideas were the first to alert us to the gains. Currently (10:16), SPEX is trading at $1.32 per share after a gain of $0.44 per share or 50.00% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the iWatch Markets team will continue to keep a close eye on SPEX. In particular, we’re interested in following the company’s entrance in the electric scooter business in a box industry and excited to see the potential revenue generated through it. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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