Sunstock, Inc. (OTC Pink: SSOK) is engaged as a diversified holding company that focuses on recession-resistant assets and businesses. Shares of the diversified company are rallying 12.90%, through early trading on Friday, November 3, 2017. Over the past month, Sunstock, Inc. has seen average daily volume of 15,747 shares. However, volume of 54,200 shares or dollar volume of $22,818, has already exchanged hands on the day.
Shares of Sunstock, Inc. are rallying today, after the company announced that it has acquired a 100-room hotel in Kern County, California for $4.1 million. The acquisition is expected to close by January 12, 2018. The company plans to turn the hotel into rehabilitation housing for opioid and other substance abuse treatment. Management also notes that they are on track to acquire over 125,000 ounces of silver by mid-2018. The company currently has silver holdings of 45,000 ounces. Here is the full press release detailing of the hotel acquisition and silver stockpiling:
SACRAMENTO, CA, Nov. 02, 2017 (GLOBE NEWSWIRE) — Sunstock, Inc. (the “Company” or “Sunstock”) (OTCBB: SSOK) has purchased a 100 room hotel located in Kern County, California for $4,100,000. Sunstock has entered into contract to purchase this hotel, has opened escrow and is scheduled to close by January 12, 2018.
The management team, with over 20 years of hospitality industry experience, has identified a distinct need for clean, safe and affordable rehabilitation housing facilities. After purchasing the hotel, Sunstock plans to convert it in phases over a one year period to a no-frills rehabilitation housing facility that will provide a clean, safe room and transportation to clients enrolled in a substance abuse treatment program. During the conversion phase, Sunstock intends to simultaneously operate as a hotel, generating an estimated $700,000 in gross revenue.
Sunstock, Inc. forecasts that the no-frills rehabilitation housing facility will generate over $10 million in gross revenue in the first 12 months of operation and over $20 million in gross revenue in the second 12 months, and thereafter.
Sunstock, Inc. believes that these revenue predictions are sustainable and will prove to be a successful pilot project. Management plans to bring additional no-frills rehabilitation housing facilities to the California market and eventually expand nationally.
Sunstock set to complete its goal of acquiring over 125,000 ounces of physical silver by middle 2018. Sunstock, Inc. believes that this precious metal is currently undervalued, and it is a strategic time to purchase more silver. Sunstock, Inc. currently holds over 45,000 ounces of silver.
Sunstock’s business strategy combines income producing real estate properties with investments in precious metals.
Safe Harbor Statement
Certain statements contained in this press release may be construed as “forward-looking statements” as defined in the Private Securities Litigation Reform Act of 1995 (the “Act”). The words “estimate,” “project,” “intends,” “expects,” “anticipates,” “believes” and similar expressions are intended to identify forward-looking statements. Such forward-looking statements are made based on management’s beliefs, as well as assumptions made by, and information currently available to, management pursuant to the “safe-harbor” provisions of the Act. These statements are subject to certain risks and uncertainties that may cause actual results to differ materially from those projected on the basis of these statements. These risks and uncertainties include, without limitation, our history of losses and limited revenue, our ability to develop new products and evolve existing ones. For a more complete description of these and other risk factors that may affect the future performance of Sunstock, Inc., see “Risk Factors” in the filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date made. The Company also undertakes no obligation to disclose any revision to these forward-looking statements to reflect events or circumstances after the date made or to reflect the occurrence of unanticipated events.