Ecoark Holdings Inc (OTCMKTS:EARK) On The Verge Of A Breakout

Ecoark Holdings Inc (OTCMKTS: EARK), the holding company that is said to be next stock to jump to the Nasdaq from the OTC, has been quite volatile recently. There are several announcements that may have excited the market. They include the election of Weston Geigle as the new CEO of Pioneer Products, which is a subsidiary of EARK, and the election of a new experienced lawyer, who will assist the Board of Directors. Additionally, directors of the firm recently purchased shares in EARK. This is a good news. We will tell you everything you need to know, but before anything else, have a look at the price action. Note the volatility seen in July.SourceRecent Developments - In Preparation for Nasdaq UplistingLet's review the background of the company for those readers who are hearing the name for the first time. Ecoark Holdings, Inc. (OTCMKTS: EARK) is an Arkansas based holding firm specialized in strategic acquisitions and funding various businesses. It has been in the business since 2011. It has diversified portfolio, which focuses on long term earnings. Zest Labs, Pioneer Products and Magnolia Solar are three wholly owned subsidiaries of Ecoark Holdings, Inc.As we said for the first time in "Ecoark Holdings Inc (OTCMKTS: EARK) Is Today’s Focus Stock", on the February 2017, EARK announced that it was filing for form 10-QT with SEC to change its financial year to be qualified for listing on NASDAQ. Again on May 10, 2017, in another press release, Ecoark Holdings, Inc. announced that it filed the form 10-QT with the SEC for up listing to NASDAQ. Ecoark Holdings, Inc.’s Board of Directors approved to change the end of the financial year from December 31 to March 31. These announcements made the share price react sharply. Trading on NASDAQ means better reputation and cheaper access to financing. Later on May 24, 2017, Ecoark Holdings, Inc. announced that it acquired 440labs and a cloud software developer, who is expected to support Zest labs. Ecoark Holdings, Inc. expects that its recent acquisition of 440labs will help with organizational development and effective runtime operations for its subsidiary Zest labs. We explained the transaction in our piece Ecoark Holdings Inc Consolidating Before Heading Higher, which was put out in May, 2017.Furthermore, on June 26, 2017, Ecoark Holdings, Inc. issued a press release stating that Stephen Dacus will join the company as General Counsel. Stephen Dacus will be overseeing the legal affairs of the firm and will act as counsel for the board members. Jay Puchir, CEO of Ecoark Holdings, Inc uttered the following words:

“As we transition towards an acquisitive holding company with decentralized subsidiaries, an in-house legal counsel will allow us to efficiently manage the deal structuring and vetting process for multiple acquisition targets simultaneously. Stephen is a bright, successful, disciplined thinker who will be instrumental in advising the team on strategic decisions.” Source

When a company hires personnel to manage M&A deals,many people in the market start believing that new acquisitions are to be announced. It could be a great news, and may make the share price increase. Thus, we encourage readers to follow closely the company's news. Finally, on July 11, 2017, EARK announced that Weston Geigle will be joining the firm as the new CEO of Pioneer Products, a subsidiary of the company. Pioneer Products is at the verge of taking its next big step by entering into the field of Account Manager for various brands and private labels. The former CEO of Pioneer Products stated his approval for selecting Weston as the new executive, as Weston has the necessary skills as Account Manager for some of the leading retailers, like Walmart, Target, and Meijer.The election of a new CEO usually makes the share price move quite a bit. This event makes organizations change a lot, and market participants tend to appreciate it. It is a good reason to justify part of the share price movement that we saw in July. The share price went from trading at the level of $3.25 to touch $4.00 in just a few days. Shares Given to DirectorsVery recently, the company announced that shares had been given to directors. InsiderTransactionTypeValueDateShares

NELSON STEVEN KDirector

Acquisition (Non Open Market) at $0 per share.DirectJul 4, 20175,591

CAHILL JOHN P.Director

Acquisition (Non Open Market) at $0 per share.DirectJul 4, 20175,591

CHAMBERS MARY SUSANDirector

Acquisition (Non Open Market) at $0 per share.DirectJul 4, 20175,591

MATTHEWS TERRENCE DDirector

Acquisition (Non Open Market) at $0 per share.DirectJul 4, 20175,591

METZGER GARY M.Director

Acquisition (Non Open Market) at $0 per share.DirectJul 4, 20175,591SourceUsually, when this happens, the directors rush to sell their positions in the open market. The fact that none of them did that is very positive. (You can check the positions that they own here). These are people working directly for the firm, thus they may know whether good news, such as a new M&A deal, or the NASDAQ listing, is about to happen.ConclusionWe saw many catalysts with EARK that could make the stock go higher. First of all, the stock is trying to be uplisted to the NASDAQ exchange. However, no news about it has been released since May, 2017, thus we expect an update soon. Additionally, the hiring of a legal adviser to help is very positive. Further M&A news could be coming. The previous deals were positive for the stock, thus be alert on this type of news too. Finally, directors are not selling shares. This is also very good news. To sum up, be alert on this name. It may surprise soon.Be sure to check out our coverage on EARK. We will be updating our subscribers as soon as we know more. For the latest updates on EARK, sign up below!Image courtesy of David warnar via FlickrDisclosure: We have no position in EARK and have not been compensated for this article.