Northstar Electronics, Inc.(OTCMKTS:NEIK) announced that it has begun filing reports with the SEC to become current with Securities Exchange Commission. Given this recent development, its not hard to see why investors and shareholders are excited about this announcement.

The stock price has climbed over 22% today and doing so on impressive volume with over 270,000 shares trading hands early in the day which has already exceed its average volume. The stock is close to surpassing its prior 52-week high set at the beginning of the year.

NEIK announced it had filed an amended 10-k (annual filings) for the year of 2011. Management has acknowledged that is working on updating and amending its 2012, 2013, and 2014 year-end filings. Once NEIK completes this and releases its 2015-10k, it will have satisfied the requirements to bring the company current. The goal of becoming current is to gain credibility to deal with institutional investors likely to raise capital or private placements.

As it continues to become current, NEIK is working towards an agreement with an international aerospace company for rights to an engine for commercial plane. Once the agreement is in place, the company will begin launching a marketing campaign to introduce its product. This product will likely sell internationally where the market size and opportunity is larger.

NEIK also announced that it will soon be actively pursuing capital which likely means share issuance, private placement, or PIPE. It hopes to do this in a non-dilutive manner to protect shareholders but that will remain to be seen.

NEIK develops and manufactures products in the aviation, defense and marine industries. It owns approximately 60% of the shares in Northstar Sealand Enterprises Ltd (NSEL). This joint venture to assemble, certify, manufacture, service, repair, overhaul, market and sell modern turboprop single engine commercial airplanes. NEIK strategy is focusing on the development of a new aviation business and carry out work to develop sonar systems.

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Northstar Electronics, Inc.(OTCMKTS:NEIK)

NEIK is currently trading at a $4.07 million market valuation. The company is in the process of becoming a current company with the SEC which is a significant development and provides investors with confidence in the management team to run this company successfully. This is likely the beginning of a turnaround story given its new product, agreements, and marketing initiatives.

We will be updating on NEIK when more details emerge so make sure you are subscribed to Microcapspot so you know what’s going on with NEIK.

Disclosure: we hold no position in NEIK either long or short and we have not been compensated for this article.

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