Tracking Corporation (OTCMKTS:TRKG), the GPS Monitoring and Tracking hardware, and software vendor, seems to be involved in a reverse merger transaction with a large Chinese corporation; H-D International Holdings Group. We believe that very few investors saw the information. Hence, we think that a piece was necessary to assess the potential upside movement if the transaction closes. The information we are about to give is key to understand the share price jump that occurred in May. Have a look:SourceBusinessAccording to investorshub.advfn.com, Tracking Corporation, founded in 2004, is an "industry leader in GPS Monitoring and Tracking hardware and software" with $2,282,625 in revenue. Some of the most important clients are very relevant car makers, such as Jaguar and LandRover. Additionally, the company works with serious suppliers, such as AT&T. The company operates under the name of Microtrak Gps, and is located in Dallas, Texas.Is the reverse merger an opportunity?According to the same site, the company was reinstated on April 28, 2017, and now works directly for a Chinese corporation; H-D International Holdings Group ("HD"). We did our due diligence and went to the HD's website to find out more about the company's size and potential. We found the following:
"H-D International Holding Group (USA), registered in the United States, Nevada, the registered U.S. $2 billion share capital, becoming a listed enterprise cross-border diversified industry." Source
Additionally, HD claims to own 20 advanced technology patents and its business objective is to "reduce environmental pollution, reduce energy consumption, and promote enterprises in the green environmental protection in healthy and rapid growth".So, what is going on? HD seems to have been bought by TRKG. We checked and saw that TRKG's President is the same person who is in charge of HD.SourceDid you get that name, Yong Ding? Ok, then if you check HD's business executives 0n this website, you will find that the same person is the president of HD.
"Directors / Officers
-ALEX JING KUNG LI, agent- JIAN LU, director- PYNG JOU, secretary- PYNG JOU, treasurer- PYNG JOU, director- YONG DING, president" Source
In the same site, we found out that HD was incorporated on October 27, 2016. Why? HD created a subsidiary in the United States to acquire TRKG, to be able to be listed in the US markets. We also found that HD can be found also in the Nevada Secretary of State's website, wherein we found out that the address given is the same that TRKG gave:
"848 N. RAINBOW BLVD., Suite 225, Las Vegas, NV (Zip Code 89107) " Source
SourceOur takeIn our opinion, investors are not quite sure yet about the size of HD. That is the only reason to explain why TRKG's share is so low. However, for some savvy traders this situation may be an opportunity. The amount of volume exchanged recently seems to support this last thesis. In any case, we believe that investors should do further research since this trade may very profitable, but it is at the same time risky.HD's productsAnother additional catalyst for informed investors in the US is that HD's website is in Chinese and the information in English is limited. This may be considered another catalyst. Why? Obviously the company may be well known in China, thus Chinese American investors may be able to understand more and may be buying shares right now, before other investors get to know the company well. This may explain also the large amount of volume that we saw in April and May.We could understand that the company produces lubricant oil and other sources of energy for cars, alternators, gas engines and gas power. Have a look at the website if you are interested. Additionally, the company disclosed here that its products own the ISO9001, 9002 certification. Furthermore, it has won the "the British invention patent SAB (silver antibacterial agent) also known as the six major areas of silver ion series products".ConclusionThis is a risky trade that may return substantial returns to those investors, who are able to successfully obtain information. Honestly, there seems to be quite a bit of savvy traders or investors with inside information since the volume is quite large. In the last seven days the total amount of shares exchanged is close to 67 million. That is more than one third of the total outstanding shares. Do these traders know something that nobody else knows? It certainly seems so. In any case we will keep informing about this name as it has delivered big returns to investors so far. We will be updating our subscribers as soon as we know more. For the latest updates on TRKG, sign up below!Disclosure: We have no position in TRKG and have not been compensated for this article.







