Quick question, where dose it say anywhere about buying Rotmans, it says it will buy 58% to 100% of Murida Furniture Co., as shown in line 8. Even if I’m missing something how can they buy a 31,000,000 dollar company based on their balance sheet? It also appears that the have authorized share increase.
12
SUBSEQUENT EVENTS
The Company has received an executed written consent from a majority of shareholders of the Company’s common stock with respect to taking the following actions:
1.
To approve the Resolutions to amend the Corporation’s Articles of Incorporation to increase the authorized shares of common stock to 975,000,000;
2.
To create a Class A Preferred Shares and to (i) set aside 300 shares for such class, (ii) to provide voting approval as a separate class on all matters, (iii) to provide 40% voting approval when joining with the common stock as of the date of issuance on all matters, (iv) permit the redemption of all but one share no earlier than two years after the date of issuance, in the Corporation’s sole discretion, at a redemption price of $75,000 (for 299 shares) per year, each subject to the continuation by holder of a guaranty on $3 million in debt for the benefit of the Corporation (such guaranty being several but not joint);
3.
To create a Class B Preferred Shares and (i) to set aside 50 shares for such class, (ii) to provide 20% voting approval when joining with the common stock as of the date of issuance on all matters, (iii) permit the redemption of all shares no earlier than two years after the date of issuance, in the Corporation’s sole discretion, at a redemption price of $50,000 (for 50 shares) per year, each subject to the continuation by holder of a guaranty on $500,000 in debt for the benefit of the Corporation (such guaranty being several but not joint);
4.
To create Class C Preferred Shares and (i) to set aside 300 shares for such class, (ii) to provide 10% voting approval when joining with the common stock as of the date of issuance on all matters, (iii) permit the redemption of all shares no earlier than two years after the date of issuance, in the Corporation’s sole discretion, at a redemption price of $150,000 (for 300 shares) per year, each subject to the continuation by holder of a guaranty on $3 million in debt for the benefit of the Corporation (such guaranty being several but not joint);
5.
To approve the Resolutions to amend the Corporation’s Articles of Incorporation to change the name of the Corporation to “Vytex Corporation”;
6.
To authorize a reverse stock split of the common stock of the Corporation at any time over the next 12 months in the Board’s discretion, at a range from 5:1 through 50:1;
7.
To authorize a raise in capital for up to $2 million in convertible notes;
8.
To approve the Resolutions to acquire from 58% to 100% of the shares of Murida Furniture Co., Inc. dba Rotman’s; and
9.
To approve the Resolutions to acquire substantially all assets of Fluid Energy Conversion in consideration of a $100,000 convertible note pursuant to the Asset Purchase Agreement.
During the period October 1, 2018 through the date of these statements an additional 24,288,119 shares of common stock were issued on convertible notes and 15,000,000 shares of common stock for CMA were still being held in escrow.
