British investment company On-line Plc announced the forthcoming rebranding, adding in its name the word Blockchain, after which the price of its shares on Friday increased by 394%
By noon, London trading volumes of On-line Plc on the stock exchange amounted to 2.9 million shares, which is 16 times higher than that for the whole of this year.
“The technology of blocking and crypto currency is a new exciting area, over which we have been working for some time. We believe that it’s time to rename the company to reflect this development. It is in this area that there will be future growth in our sector, “the Essex company said in a statement.
After 14:00 GMT on Friday, On-line Plc made another small announcement warning investors that its blocking product is still at an early stage of development. After that, the stock price went down, but in any case, their growth since the beginning of the day was 238%. Thanks to this, the company’s market value was 4.4 million pounds sterling ($ 5.8 million), which became the highest figure since 2005.
As stated on the page on-line Plc on Google Finance, its main activity is investment in companies that specialize in the development and promotion of online content, as well as research and financial data. In addition, through a network of online brokers, On-line Plc invests in IPOs, venture capital trusts (VCT), real estate investment funds (REIT) and enterprise investment incentive programs (EIS).
As Bloomberg notes, this is not the first time when the shares of companies grow in price after using the word Blockchain in the title. So, in early October the company from Colorado Bioptix Inc changed its name to Riot Blockchain Inc, and its share price doubled.