The news of an acquisition can often come as a big boost for the company’s stock and that is what happened with the Fortran Corporation (OTCMKTS:FRTN) stock on Tuesday.
Yesterday, the Fortran stock announced that it inked a letter of intent with regards to the acquisition of Comconexx LLC. After the news broke, investors piled on to the Fortran stock in a big way and it ended the day with gains of as much as 70%. The excitement behind the acquisition is perhaps understandable when one takes a look from the comments made by the President of Forthran Glenn Withers.
Withers stated that the acquisition of Comconexx is going to help the company in boosting its market share in the Southeastern region of the United States.
That, in turn, is expected to boost the revenues and bring about an improvement in the bottom line numbers. Headquartered in Fort Myers in Florida, Comconexx is involved in telecommunications sales, services and installations. The company primarily operates in the Fort Myers area. It now remains to be seen if the Fortran stock can continue to attract the attention of investors over the course of the week.
