5. Stockholders' Equity

6 Months Ended

Oct. 31, 2014

Equity [Abstract]

5. Stockholders' Equity

The Company has authorized 500,000,000 shares of Common Stock, $0.001 par value. 

On May 1, 2014, the Company's Board of Directors declared a ten-to-one forward stock split of all outstanding shares of common stock. The effect of the stock split increased the number of shares of common stock outstanding from 5,413,400 to 54,134,000 as of May 1, 2014. All common share and per common share data in these consolidated financial statements and related notes hereto have been retroactively adjusted to account for the effect of the stock split for all periods presented prior to May 1, 2014. The total number of authorized common shares and the par value thereof was not changed by the split.

During the six months ended October 31, 2014, the Company issued 29,647,316 shares of its restricted common stock for stock subscriptions received as of April 30, 2014 of $1,482,366. These shares were included in common stock issuable at April 30, 2014. $128,194 of issuance costs were charged to paid in capital relating to these shares during the six months ended October 31, 2014.

During the six months ended October 31, 2014, the Company issued 14,683,720 shares of its restricted common stock for cash of $1,001,932 (net of issuance costs of $171,440).

Pursuant to the merger with STVU, the Company issued 1.25 shares of its restricted common stock for each share of STVU, or 49,678,443 shares. These shares have been valued at a fair value of $2,980,707 based on the average value of stock subscriptions sold to investors at the date of merger.

During the six months ended October 31, 2014, the Company issued an aggregate of 8,000,000 shares of its restricted common stock to its then two directors. The shares were valued at $0.10 per share based on the most recent sales of stock subscriptions to investors at the date of issuance for a total of $800,000, which is included in general and administrative expenses for the six months ended October 31, 2014.

During the six months ended October 31, 2014, the Company issued an aggregate of 1,000,000 shares of its restricted common stock to a consultant for services pursuant to a consulting agreement. The shares were valued at $0.05 per share based on the most recent sales of stock subscriptions to investors at the date of obligation for a total of $50,000, which is included in general and administrative expenses for the six months ended October 31, 2014.

During the six months ended October 31, 2014, the Company issued an aggregate of 7,677,366 shares of its restricted common stock to nine consultants for services to be provided pursuant to consulting agreements. The shares were valued at an average price of $0.064 per share based on the most recent sales of stock subscriptions to investors as of the dates of obligation for a total of $492,736. Based on the terms of the agreements, $259,927 is included in general and administrative expenses for the six months ended October 31, 2014 and $232,810 is included in prepaid expenses at October 31, 2014.

During the six months ended October 31, 2014, the Company received stock subscriptions of $414,873 for 6,976,230 shares of common stock. These shares are included in common stock issuable at October 31, 2014.

Pursuant to a consulting agreement, the Company is obligated to issue 500,000 shares of its restricted common stock to a consultant for services at October 31, 2014. The shares were valued at a total of $45,000 based on the most recent sales of stock subscriptions to investors at the dates of the obligation, which is included in general and administrative expenses for the six months ended October 31, 2014. These shares are included in common stock issuable at October 31, 2014.

During the six months ended October 31, 2014, three shareholders returned an aggregate of 8,100,000 common shares to treasury as a capital contribution. These shares were cancelled by the Company.