A small Texas company’s shares have soared more than 6000 per cent after investors mistook it for a messaging service.
Last week, Telsa CEO Elon Musk tweeted "Use Signal"; encouraging his followers to move to the encrypted messaging platform Signal.
Those rushing to invest in the company after Musk’s tweet then accidentally put their money behind Signal Advance - a Texas-based organisation which is so small it doesn’t report its financial's to the US agency regulating the stock market, and had no revenue between 2014 to 2016.
According to Reuters, Signal Advance is "an engineering product and procedure development and consulting firm", which is quite different to the messaging service punters thought they were investing in.
In the past six days, the company has gone from just over NZ0.80 cents a share to NZ$53.95 per share.
In that same timeframe it peaked at $58.22 per share.
According to Market Watch, the shift pushed Signal Advance’s market value from around $76 million to more than $4 billion.
Musk, who recently was crowned as the world’s richest person, has not commented on the mishap.
Signal, the messaging service, put out a tweet letting its followers know it was not the company people were throwing their weight behind.
Chris Hymel, Signal Advance chief executive, has not responded to media requests about the situation.
SHARE ME