A Custo-play and top penny stock with massive growth potential, one you should be keeping your eye on, is King Resources Inc. (OTC: KRFG). KRFG has seen a flurry of activity this past month with investors pushing it to a 52 week high of $.0345. The unprecedented 136% increase over 6 days at the start of July was followed by a dip as a wave of sellers left without waiting for results.
The company’s second quarterly report, issued on July 7th, shows reason for confidence as KRFG settled their convertible notes through a private party purchase. A relic from 2014, those notes had a value of $450,000. Now relieved of this liability, the company has issued controlling shares of Preferred C stock to interim CEO, Caren Currier.
Well-known in the OTC market world, Currier is a classic merger consultant whose work routinely produces great results for shareholders. In addition to handling other up and coming stocks like KATX, Currier is the current CFO for the investment holding company FCCC, Inc. (OTC:FCIC) and One World Universe Inc. (OTC:OWUV). Her instatement as CEO is a solid indicator of the stock’s long-term viability.
According to its latest disclosure, the company changed control in 2018 owing to a new business direction. In the past, KRFG was oriented towards the oil and gas sector and at that time it engaged in exploration and development projects in Utah, Louisiana, and Texas. However, it has since stated its intent to enter a share exchange agreement with the shareholders of a private corporation – likely located in China since the transaction will occur in accordance with the laws of the PRC.
For this to transpire, all or part of the shares issued by either KRFG or the private corporation must be exchanged with those of the other. Of course, this plan of exchange must be adopted by both boards of directors as well as approved by their shareholders. If successful, the private company will become the wholly-owned subsidiary of King Resources Inc.
If a share exchange agreement is successfully executed, KRFG intends to enter into manufacturing, sales, service, product application, research and development, as well as education and training for analytical instruments. With such a range of potential industries, KRFG will have a variety of candidate options. But given the legal specificity of this note, there could already be someone in mind.
OTC verified as of June, KRFG is currently trading at $.0202 and has a volume of about 10 million compared to an average of roughly 38 million.
Following the boom from its quarterly report, KRFG has experienced a cooling off period. But with its debt paid off, no foreseeable dilution, and a cap of 43 million, bullish investors are taking the opportunity to accrue more stock before its hopeful merger. It’s important to always sell on the way up, and with a seasoned CEO like Caren Currier at the helm it’s possible to see this top penny stock break $.09 in the near future.
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