OPTEC International Inc. (OTCMKTS:OPTI) jumped 8% after announcing the execution of a letter of intent (LOI) to acquire an established medical supply firm, West Coast. Notably, the medical supply company has more than 25 years of experience in the sector.
Recently the company expanded its supplies in the personal protective equipment segment besides its core medical supplies. Also, the company has signed a purchase agreement overseas, and the US manufactures for medical supplies. Currently, annual revenues are estimated to be around $10 million with massive potential for growth.
In the long-term, the company expects to establish localized medical supple distribution centers that can offer service to large and small clients with next and same-day deliveries. OPTEC sees a massive opportunity and huge demand for same and next-day deliveries, an area currently underserved. The acquisition terms will be available once the company completes the definitive agreement at the seller’s request. The transaction is likely to close by October 2021 or even sooner. Therefore, investors should watch OPTI.
Market Reaction:
On Friday, OPTI stock gained 8.15% at $0.0399 with more than 16.06 million shares, compared to its average volume of 13.67 million shares. The stock has moved within a range of $0.0370 – 0.0419 after opening the trade at $0.37.
