COMMON STOCK

12 Months Ended

Jun. 30, 2014

Equity [Abstract]

COMMON STOCK

During the year ended June 30, 2014, 54,900,000 shares of common stock were issued for services rendered in connection with discontinued operations. This stock issuance was initiated by the former management of the Company. The stock was valued at the market value on the grant date for a total of $269,010.

During the year ending June 30, 2014, the Company issued 9,150,000 shares of common stock (exclusive of the 54,900,000 shares issued in connection with discontinued operations as disclosed in the paragraph above) for current and future consulting services. The value of the shares at the dates of issuance was $760,750, and is being amortized over the life of each contract to a stock based compensation expense. As of June 30, 2014 the stock-based compensation expense related to these issuances was $760,750.

During the year ending June 30, 2014, the Company issued 7,875,000 shares of common stock with a market value of $630,000 for rights to internally generated technology from a controlling party. Subsequently, the Company has valued the technology at $0 and recorded the adjustment to additional paid in capital. In addition, the Company issued 9,030,000 common shares for the conversion of the Parent Company common shares and issued 4,999,998 common stock warrants, exercisable at $0.10 per share and expires in 7 year from the date of issuance (see footnote 8). The fair value of the common shares is $868,800 and the fair value of the warrants is $85,053. The fair value of the common shares and stock warrants is considered to be the excess value from the carry over cost basis of $0 and is recorded as a pass through to additional paid in capital.

During the year ending June 30, 2014, the majority shareholder has contributed capital of $408,885.

During the year ending June 30, 2014, the Company issued 24,739,555 shares of common stock for cash net of cash proceeds of $1,956,500. In connection with the sales, the Company paid stock issuance costs of $43,500 and issued an aggregate of 604, 166 common stock as payment for stock issuance costs. The common stock was fair value using the market price on the grant date of $0.11 per share. In addition, the Company issued 1,000,000 common shares fair valued at $0.11 per shares and recorded as finder’s fees.

During the year ended June 30, 2014, the Company issued 2,000,000 shares of common stock with a fair value of $290,000 for the exchange of an investment in securities with a market value at the trade date of $60,000 (see footnote 3). The Company recorded a loss for the exchange of common stock of $230,000 for the difference in fair value of the marketable security and the fair value of the Company’s common stock issued.