Video River Networks’ (OTC: NIHK) acquisition of Drone Guarder inc. (OTC: DRNG) has already proved mutually beneficial to both companies. Once the deal was signed on July 15th, NIHK quickly paid the fees required to reinstate DRNG and bring it current with the OTC Market.
According to NIHK’s official twitter account, this acquisition was designed to give NIHK access and control of DRNG drone and AI technology. For this reason, the company brought on a Northrop Grumman aerospace veteran to enhance their shared drone and AI division. With NIHK’s varied experience in the technology sector and control of all of DRNG’s assets, progress is likely to accelerate for the benefit of all shareholders.
The day after its acquisition, an official twitter account for DRNG began giving regular updates, and no more than 4 days later it dropped its filings with the OTC market. It is only a matter of time before the OTC updates DRNG’s profile to signify this compliance. But Video River Networks isn’t slowing down. Announcing its intent to provide $20,000 in working capital to Drone Guarder, Inc., NIHK is hoping DRNG will be able to quickly finish and market its drones and AI products with this added capital.
As a holdings company, Video River Networks, Inc., has a wide scope of interests and expertise. Orienting itself towards emerging technologies, the company manages a portfolio of electric vehicles, artificial intelligence, machine learning, and CBD related operations in North America.
Drawing on its years of experience with battery technology and electric vehicles, this acquisition signifies NIHK’s new venture into the security and surveillance industry. Since DRNG is an established surveillance and security company, its concentration on delivering drone and AI-enhanced security systems to the residential sector could be a huge step forward for both parties.
With both companies regularly updating their twitter accounts, shareholders benefit from the companies’ transparency regarding their plans and progress. In fact, both companies just announced their plans to issue dividends to stockholders after their successful restructuring efforts.
Issuing 1 additional share of DRNG for every 10 shares, DRNG will issue a total of 261,175,554 shares to common stock shareholders and 177,922,436 shares to Preferred stockholders. Meanwhile, NIHK will redistribute its dividends from DRNG at a ratio of 1 share of DRNG for each share of NIHK held. According to the press release, these dividends will only be issued to those holding stock by August 31, 2021, and be payable on or after September 30th.
Currently, NIHK has a market capitalization of roughly 15 million and DRNG one of approximately 19 million. NIHK has a relatively low float with 200 million authorized shares and almost 178 million outstanding shares.
In comparison, DRNG has 5 billion authorized shares and 2.6 billion outstanding shares. At the moment, NIHK is experiencing slowed volume but DRNG has a volume of 342 million – almost twice its average volume. As news of the planned dividends spreads, both stocks will likely see a sympathy play and gap up in anticipation of the August 31st deadline.
Please visit and read our disclaimer here.
You can also join our free alerts room for the best stock alerts out there.