Brooklyn Immunotherapeutics Inc. (BTX) stock rallied on Monday, April 5, 2021. It gained 24.53% in the morning session and the momentum continued in the after-hours session and it further rises 75.16%.
Let’s try to find out the reason behind its Monday surge.
Reverse merger completion with NTN Buzztime
On March 26, 2021, Brooklyn ImmunoTherapeutics, announced the completion of the reverse merger with NTN Buzztime, Inc. Brooklyn’s common stock has started trading on the NYSE American Exchange under the ticker symbol “BTX” from March 26, 2021.
According to the agreement, Brooklyn ImmunoTherapeutics has merged with NTN Buzztime and became a wholly-owned subsidiary of NTN Buzztime. NTN Buzztime has changed its name to Brooklyn ImmunoTherapeutics
Let’s have a look at the recent available financial figures of NTN Buzztime. NTN Buzztime announced its financial results on November 13, 2020, for the third quarter ended September 30, 2020.
3Q 2020 financial highlights
- For the third quarter 2020, total revenues were $1.5 million, up to $0.7 million (or 96%) sequentially as compared to the second quarter of 2020, but down from $4.6 million in the third quarter of 2019
- operating expenses for the reported quarter were $2.9 million compared with $4.9 million in the third quarter of 2019.
- NTN Buzztime suffered a net loss of 1.5 million, or $0.50 per share to common shareholders in Q3 2020 compared with $351,000, or $0.12 per share, in the prior-year third quarter.
- As of September 30, 2020, NTN Buzztime had cash, cash equivalents, and unrestricted cash of $1.7 million.
Conclusion: As there is no recent news to justify the BTX stock gains, the BTX stock volatility suggests that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon.
About the company
Brooklyn ImmunoTherapeuticsis exploring opportunities to advance therapies using leading-edge gene editing/cell therapy technology through its option agreement with Factor Bioscience/Novellus. Brooklyn ImmunoTherapeutics headquarters, laboratories, and manufacturing facilities are located in the historic Brooklyn Army Terminal.