Sometimes the strangest things can make a stock’s share price explode in value. VCI Global (NASDAQ:VCIG) shot up over 160% at the time of writing after revelations emerged that it would be the distributor for a new communications app from Cogia GmbH.
Pick the best stocks and maximize your portfolio:
- Discover top-rated stocks from highly ranked analysts with Analyst Top Stocks!
- Easily identify outperforming stocks and invest smarter with Top Smart Score Stocks
The new application, known as “Socializer Messenger,” offers a range of tools for end users. It’s built around an AI platform and actually conforms to at least some standards of military use, making it “military grade,” according to a Seeking Alpha report. It can be used for regular needs just as readily as it can be used as a business tool or even a government system. Socializer Messenger delivers particular value on four key elements: administration, business, privacy, and security.
Under the terms of the distributorship arrangement, VCI Global gets a share of the revenue and will run for three years. This includes not only the distributorship proper—which will run for two years—but also includes an extra year of automatic renewal to follow the original term. Word direct from Cogia GmbH’s founder and CEO Pascal Lauria noted that VCI Global’s “…expertise and extensive network” made them a clear favorite to handle the account in question.
A look at the last five days in trading for VCIG stock shows that this latest development comes at a good time. VCI Global was largely flat until that bit of news about Cogia GmbH’s plans to tap them as a distributor. But with the news, VCI Global exploded to the upside, breaking the $10 level for the first time since early May.
