Long Blockchain Corp. (NASDAQ: LBCC) is having an incredibly strong start to the trading session this morning, and for good reason. The company announced that it has entered into a definitive acquisition agreement, leading to excitement among investors and sending the stock on a run for the top. Today, we’ll talk about the news, what we’re seeing from the stock, and what we’ll be watching for with regard to LBCC ahead.
LBCC Announces Acquisition News
As mentioned above, Long Blockchain is having an incredibly strong start to the trading session this morning after announcing that it has entered into a definitive acquisition agreement. In a press release issued early this morning, the company announced that it will acquire Hashcove Limited. Hashcove is an early-stage UK technology company that is focused on the development and deployment of scalable distributed ledger technology solutions. In the announcement LBCC said that upon the closing of this transaction, Hashcove will become a wholly-owned subsidiary of the company. In a statement, Shamyl Malik, CEO at LBCC, had the following to offer:
We are excited to announce this milestone transaction for the Company and believe the suite of products that Hashcove is developing is of great strategic value for our development plans,” said Shamyl Malik, Chief Executive Officer of Long Blockchain. “To become both a platform company and thought leader across the blockchain ecosystem, we must be relevant to the widest possible cross section of a potential client’s needs as they look to migrate processes to blockchain. Hashcove’s resource base, including a team of developers in India, will give Long Blockchain an international footprint and allow us to leverage a center of excellence in one of the fastest growing and most tech-savvy markets in the world.
What We’re Seeing from The Stock
As investors, one of the first lessons that we learn is that the news moves the market. In this particular case, the news proved to be overwhelmingly positive. After all, with this acquisition, Long Blockchain digs its roots deeper and deeper into the cryptocurrency and blockchain space. So, it’s no surprise to see that excited investors are sending the stock on a run for the top. Of course, our partners at Trade Ideas were the first to alert us to the gains. Currently (9:52), LBCC is trading at $3.23 per share after a gain of $0.35 per share or 12.15% thus far today.
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What We’ll Be Watching For Ahead
Moving forward, the CNA Finance team will continue to keep a close eye on LBCC. In particular, we’re interested in following the story surrounding the acquisition and how the company will leverage this new asset to push it toward growth. Nonetheless, we’ll continue to follow the story closely and bring the news to you as it breaks!
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