It was momentous in the markets for investors in Active Health Foods Inc (OTCMKTS:AHFD) as the stock came into considerable focus among investors and ended up with gains of as much as 300% for the day.
On Thursday, AHFD stock soared 300% to $0.0004 with 755.02 million shares, compared to its average volume 42.62 million shares. The stock moved within a range of $0.0002 – 0.0004 after opening trade at $0.0003.
Active Health Foods, Inc. Rescinds and Terminates Bioidentical hormones, Inc. Share Purchase Agreement
The rally in the stock came about after the company announced yesterday that it had inked a new Rescission Agreement with the firm Bioidentical Hormones Inc. As a result of the new agreement, the Share Purchase Agreement with Bioidentical was terminated and rescinded. The share purchase agreement had been signed back on June 7, 2022.
As per the terms of the original agreement, the condition of the SPA was that Active Health Foods had to go for a reverse stock split and then issue as many as 70,000,000 of its post-split shares to those who held shares in Bioidentical.
However, Active Health Foods was not able to get the necessary regulatory approval for the reverse stock split. As a result, the two companies did not have any other option but to terminate and rescind the original agreement. However, the news about the cancellation of the whole thing came as a source of considerable optimism for investors and it remains to be seen if the stock can add to its gains today.
AHFD stock is trading above the 20-Day and 50-Day Moving averages of $0.0002 and $0.0003 respectively. However, the stock is trading below the 200-Day moving average of $0.0006.