XML 14 R9.htm IDEA: XBRL DOCUMENT

Joint Venture Agreement	6 Months Ended
Jun. 30, 2014
Joint Venture Agreement [Abstract]
Joint Venture Agreement	3. Joint Venture Agreement In December 2013 the Company entered into a memorandum of understanding (MOU) with Adiuvo Investment S.A. (AI), an investment company located in Poland, whereby AI paid the Company $100,000 for the option, expiring in September 2014, to purchase up to 10% of the outstanding stock in the Company at $0.25 per share. Upon the acquisition of the Company’s stock, AI also has the right to acquire, pro-rata to the number of shares purchased by AI, warrants to purchase up to 1,472,000 shares, exercisable at $0.22 per share for three years from the date of the MOU. AI also has the right to acquire additional warrants upon the Company achieving certain financial milestones. At December 31, 2013, the Company has reported a $100,000 deposit payable, which is included in the accompanying balance sheet. In January 2014 the Company used the funds received from AI and paid $100,000 back to AI in exchange for a minority interest of less than 1% in AI, and an option to acquire additional shares of AI up to an aggregate consideration of $1,500,000. Further, AI granted the Company the right to participate in any subsequent public offerings of AI and the option to buy up to 10% of AI. The Company’s investment in AI is accounted for at no value on the accompanying June 30, 2014 balance sheet.

Joint Venture Agreement

6 Months Ended

Jun. 30, 2014

3. Joint Venture Agreement

In December 2013 the Company entered into a memorandum of understanding (MOU) with Adiuvo Investment S.A. (AI), an investment company located in Poland, whereby AI paid the Company $100,000 for the option, expiring in September 2014, to purchase up to 10% of the outstanding stock in the Company at $0.25 per share. Upon the acquisition of the Company’s stock, AI also has the right to acquire, pro-rata to the number of shares purchased by AI, warrants to purchase up to 1,472,000 shares, exercisable at $0.22 per share for three years from the date of the MOU. AI also has the right to acquire additional warrants upon the Company achieving certain financial milestones. At December 31, 2013, the Company has reported a $100,000 deposit payable, which is included in the accompanying balance sheet.

In January 2014 the Company used the funds received from AI and paid $100,000 back to AI in exchange for a minority interest of less than 1% in AI, and an option to acquire additional shares of AI up to an aggregate consideration of $1,500,000. Further, AI granted the Company the right to participate in any subsequent public offerings of AI and the option to buy up to 10% of AI. The Company’s investment in AI is accounted for at no value on the accompanying June 30, 2014 balance sheet.