Despite Good News, Noveko Shares Continue to Fall

Noveko International Inc. (NKOFF.PK) was down more than 9% on Monday, adding to a disturbing trend in the stock price over the past week.

On March 4, the company announced that the Ministry of Economic Affairs in Taiwan had issued to its subsidiary Noveko Inc. a patent for its antimicrobial filtration technology, known as "Microbicidal AirFilter."

Alain Bolduc, president and chief operating officer of Noveko said:

Being issued this patent is excellent news as it provides us with further protection, all the more since we are in the process of acquiring Purer Life, a filtration fabric manufacturer located in Taiwan. This strategic acquisition, which is expected to close by the end of April 2008, would enable Noveko Inc. to assure and control its production of antimicrobial air filters and to penetrate new markets. The region of Taiwan, which is highly industrialized and has a population of close to 22 million, also represents a growth market for Noveko Inc., for both its air filters and its antimicrobial face masks.

Despite the "good news," shares in the company have fallen more than 25% in the past 4 trading days. When reached for comment, Noveko said it was perplexed by the negative sentiment towards the stock.

In a telephone interview on Monday, Gaston Lavallee, Noveko's vice president of business development said:

There's no bad news, everything's on par, everything's okay. We don't understand what's happening. The only thing I can tell you is that I'm buying the stock right now.