He was alike a Greyish Two headed Dragon (or Hydra I suppose) when he transfored the Dragon heads would become his hands. It was the coolest one my bro had and he was nostalgic the other day about it and now I'm feeling nostalgic! What was his name? was he in a cartoon series? Anywhere I can find this action figure???
Could it have been this guy? http://tfwiki.net/wiki/Hun-Gurrr_(G1) Granted, his two Beast-Mode heads become his feet in robot mode, but he is (Arguably) Grey and does have two heads in dragon mode.
I had Doublecross as a kid as well and LOVED him. One of my favorites. Looked awesome in both modes and I had a blast with his spark gimmick. Robot arm / dragon neck and head articulation were more than what most TFs offered at the time. I was just bummed that there were no new episodes produced and I couldn't watch him on TV as a kid, so it was a treat to finally see him come to life in animated form when I watched Headmasters for the first time last year.
So to summarise: His name is Doublecross, he appeared in episodes 5, 22 and 24 of Japan-only cartoon 'Transformers: The Headmasters', and if you search 'transformers doublecross' on eBay you'll find loads for sale.