OriginClear Inc. (OTCMKTS:OCLN) was up 14% after the clean water innovation leader announced plans to spinoff the Water On Demand operations. Water On Demand is an innovative water fintech startup financing private water utility programs.
Market Reaction
On Wednesday, OCLN stock surged 14.25%% to $0.0228 with more than 560K shares, compared to its average volume of 391K shares. The stock moved within a range of $0.0211 – 0.0250 after opening trade at $0.0220.
OriginClear to Launch Water on Demand Fintech Startup
CEO of OriginClear Riggs Ecklerberry said that Water On Demand helps businesses mitigate or eliminate dependency on municipal sewerage treatment, which is unreliable and costly. With municipal water systems falling behind on budget and people migrating from major cities, the trend has become more common. Riggs added that the option of pay-as-you-go for sewerage services is revolutionizing water treatment services.
The company’s EVP Ken Berenger said that there is no important commodity apart from clean water. Water on Demand offers investors the chance to earn royalties through private water utilities serving agricultural and industrial businesses underserved by the US’ underserved city water systems. Interestingly with Water On Demand, the businesses can now enter water treatment contracts with upfront payment or need to carry out their maintenance. So in the coming weeks, investors should watch OCLN.
Key Quote
‘Water On Demand can help businesses eliminate or mitigate their dependency on municipal sewage treatment, which can be costly or even totally unavailable,’ said Riggs Eckelberry, OriginClear CEO. ‘This is a growing trend as city water systems fall behind on funding and populations increasingly migrate away from big urban centers. For waste water producers, the ability to pay-as-you-go for water treatment services is revolutionary. For investors, Water on Demand enables them to participate in the financing of these services at a stage we believe is undervalued.’
Traders Review
OCLN stock is trading below 20-Day and 50-Day Moving averages of $0.02 and $0.02 respectively. Moreover, the stock is trading below the 200-Day moving average of $0.04.
