You On Demand Holdings, Inc. (OTC:CBBD) Continues Its Progress In China
Posted on | June 15, 2011 | No Comments
This is a company chosen the People’s Republic of China as the primary market on which to offer its services. We have in mind You On Demand Holdings, Inc. (OTC:CBBD). The corporation has an exclusive, 20-year joint venture partnership with China Central Television’s (CCTV-6) pay TV arm – China Home Cinema. Today, the public received another confirmation about You On Demand’s progress in China.
Several hours ago, Warner Bros. Entertainment announced to have signed a contract with You On Demand Media, the company’s joint venture in China. The deal will grant many Chinese the opportunity to enjoy watching first-class Hollywood films through You On Demand platform.
Not accidentally so, the Chairman and CEO of the company, Mr McMahon called the agreement “a historic milestone” for You On Demand. It is interesting to see whether this will also lead to a progress in the share price.
As a whole, the stock is going in the right direction. Throughout March a
nd April, CBBD was traded between $0.04 and $0.06. Since then, the price gain has been significant. Yesterday, CBBD ended trading at $0.11 which is not far from the 52-week high of $0.13. The volume was around the average – 1M shares were turned over.
A week ago, another positive development was issued. You On Demand announced the completion of $11M private placement, which strengthened the corporation financially. It was also the main topic of the latest company’s 8K-filing on SEC. Now the company has additional funds at its disposal.
They are not excessive at all. The latest financial reports show not a very bright picture. A loss of $8.92 for 2010 and a $2.23M negative income for the first quarter of 2011 may serve as a proof of our conclusion.
Nevertheless, You On Demand has its grounds to anticipate the future with optimism, especially after the mentioned deal with Warner Bros. Entertainment.
Tags: cbbd-stock-on-demand > you-on-demand > you-on-demand-cbbd-future-of-china
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