Finance

Long Island Iced Tea Corp changes name to Long Blockchain

Long Island Iced Tea Corp changes name to Long Blockchain

A New York-based company saw its shares spike almost 500% in pre-market trading Thursday after announcing its new focus would be exploring and investing in the technology that underpins cryptocurrencies like bitcoin-which wouldn't be so remarkable but for the fact that it previously made a name for itself selling iced tea. In the past week alone, a gaming company in the United Kingdom, a Chinese fruit-juice company, and Miami-based mobile-payment company all saw their stock prices surge after announcing a new focus on blockchain and cryptocurrencies.

The company said Thursday that it plans to ask the Nasdaq to change its trading symbol from its current "LTEA", but didn't disclose what it wants the symbol changed to.

But the company said in a statement it would remain in the ready-to-drink beverage industry through a subsidiary while shifting to the cryptocurrency sphere.

"We view advances in blockchain technology as a once-in-a-generation".

"We will, in the coming weeks and months, be taking a series of steps related to our efforts to assemble a world-class team of industry professionals to help us realise this vision".

"I am incredibly proud of what we have accomplished in the beverage industry and we are committed to growing our business both on a national and global scale..."




10% Owner, Heron Bay Trust, purchased 123,372 common shares of Long Island Iced Tea Corp.

"Your support over the years has helped to drive our growth and elevate our brand, and we remain committed to maintaining and fostering these relationships", he said.

As investors, we know that the news moves the market. Specifically, it is evaluating multiple opportunities in the space, including providing exchange and infrastructure services for blockchain to the finance industry and setting up a new smart contract platform. Finding stocks that look good on paper but have fallen out of favor with certain investors may be a good place to start doing some further number crunching.

A 450-percent gain, where it traded at one point in the premarket, for 9.76 million outstanding shares, according to FactSet, would still give the company a market value of just about $138 million, tiny by Wall Street standards.

Moving forward, the CNA Finance team will continue to keep a close eye on LTEA. Join the CNA Finance mailing list below!