HUTN, Inc. (OTC Pink: HUTN) operates as a holding company that primarily is engaged within providing business-to-consumer (B2C) internet services. Shares of the technology and consulting company skyrocketed 183.33% during trading on Thursday, March 29, 2018. Over the past month, HUTN, Inc. has seen average daily volume of 230 shares. However, volume of 62,371 shares or dollar volume of $53,015, has already exchanged hands on the day.
Shares of HUTN, Inc. soared after the company announced that its CEO, Christopher Daniels, has purchased 3.225 million shares of HUTN stock. This brings Mr. Daniels’s total holdings to 5.85 million, which has all been purchased in the last twelve months. The latest share purchase was conducted at a price of $0.31 per share. Mr. Daniels notes that he has significant confidence in the company and its outlook. Here is the full press release detailing of the CEO share purchase:
HUTN, Inc. Press Release:
SPRINGFIELD, OH / ACCESSWIRE / March 28, 2018 / The CEO of HUTN, Inc. (OTC PINK: HUTN) has purchased 3,225,000 shares of HUTN, exercising a right under his employment agreement. The shares were purchased for $0.31 per share. This brings his total purchases to 5.855 million shares in the last 12 months.
Christopher Daniels, the company’s CEO, said, “I believe in the company’s future and cannot think of a better way to show that than to risk my own personal capital to buy a significant number of shares.”
Unlike many CEOs who win even if shareholder’s don’t, compensation under Mr. Daniels employment contract is geared to performance and to alignment with shareholder interests. His base salary is just one dollar per year and any bonuses and stock options are contingent upon performance. Last month the Board extended his contract by a year.
Mr. Daniels purchased the shares directly from the company in a private transaction. The shares were issued under an exemption from registration under Reg D of the Securities Act of 1933 as amended. The shares carry a legend and, unless registered, they cannot be sold for at least one-year, except pursuant to an applicable exemption. In return for the unregistered shares, the company received a balloon note that matures in five years at an effective fixed rate of 4.50%.
Cautionary Note Regarding Forward-Looking Statements
Certain statements contained in this press release that are not historical facts may constitute “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended (the “Exchange Act”), and are intended to be covered by the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.