On April 20, 2010, the Company acquired Crown
Auto, Inc. (CAI), a corporation organized under the laws of Utah on July 19, 1999. In accordance with the share exchange
agreement, the Company issued 5,000,000 shares to the shareholder of CAI. Due to the fact that the companies were held under common
control at the time of acquisition, the Company has recorded for the as a recapitalization with the effects of the acquisition
being retroactively restated in the Companys financial statements. The assets, liabilities and stockholders equity
for each Company has been combined as of the acquisition date and on a retroactive basis.
Under the Exchange Agreement, CAI became a
wholly owned subsidiary of the Company, and CAI will continue to own its assets and operate its business as a wholly-owned subsidiary
of the Company.
During May 2010, the Company completed a private
placement of 3,000,000 of its common shares for cash at $0.001 per share for net proceeds of $3,000.