EXHIBIT 10.1


 


 


 


 





AGREEMENT AND PLAN OF MERGER


 


 


BY AND AMONG


 


 


INDIGO-ENERGY, INC.,


 


 


FETOPOLIS ACQUISITION CORPORATION, INC.



 


 


AND


 


 


FETOPOLIS INC.


 


 


May 25, 2014


 


 


 


 






    	 



    	 



    

 


AGREEMENT AND PLAN OF MERGER


 


This Agreement and
Plan of Merger (this “Agreement”) is effective as of May 25, 2014, by and among INDIGO-ENERGY, INC., a corporation
formed under the laws of the State of Nevada, United States of America (“Buyer”), FETOPOLIS ACQUISITION CORPORATION,
INC., a corporation formed under the laws of the State of Nevada, United States of America (“Acquisition Corp.”),
FETOPOLIS INC., a corporation formed under the Canada Business Corporations Act in the Province of Ontario, Canada (“Seller”)
and with respect to Article VIII only, New Hope Partners LLC, a Nevada limited liability company (“Buyer Principal Stockholders”).
Certain capitalized terms used in this Agreement are defined in the text or on Exhibit A attached hereto.


 


RECITALS


 


A.         The Boards of Directors of Seller, Buyer and Acquisition Corp. believe it is in the best interests of their respective companies
and the stockholders of their respective companies that Seller and Acquisition Corp. combine into a single company through the
merger of Acquisition Corp. with and into Seller (the “Merger”) and, in furtherance thereof, have approved the
Merger.


 


B.         Pursuant to the Merger, among other things, the outstanding shares of Seller’s common stock (“Seller Common
Stock”) will be exchanged for shares of Buyer’s Common Stock (“Buyer Common Stock”), as set
forth herein.


 


C.         Seller, Buyer and Acquisition Corp. desire to make certain representations and warranties and other agreements in connection
with the Merger.


 


D.         The parties intend, by executing this Agreement, to adopt a plan of reorganization within the meaning of Section 368
of the Code and to cause the Merger to qualify as a reorganization under the provisions of Sections 368(a)(1)(A) and 368(a)(2)(E)
of the Code.


 


E.         The parties intend to cause the Merger to be accounted for as a purchase that is intended not to cause adverse tax implications.


 


The parties agree as
follows:


 


ARTICLE I

THE MERGER


 


1.1.         The Merger.


 


(a)         Constituents of the Merger. The constituent entities of the Merger are Acquisition Corp. and Seller. The name, address,
place of organization, governing law and kind of entity of Acquisition Corp. are as follows:


 


	Name:	 	FETOPOLIS ACQUISITION CORPORATION, INC.	 	 
	Address:	 	74 N. Pecos Road, Suite D	 	 
	 	 	Henderson, Nevada 89074	 	 
	 	 	USA	 	 
	 	 	 	 	 
	Place of Organization:	 	Nevada	 	 
	Governing Law:	 	Nevada	 	 
	Kind of Entity:	 	Corporation	 	 




 






    	1



    	 



    

 


The name, address, place
of organization, governing law and kind of entity of Seller are as follows:


 


	Name:	 	FETOPOLIS INC.	 	 
	Address:	 	3650 Langstaff
Road, Suite 243	 	 
	 	 	Woodbridge, ON L4L 9A8	 	 
	 	 	Canada	 	 
	 	 	 	 	 
	Place of Organization:	 	Ontario,
Canada	 	 
	Governing Law:	 	Ontario,
Canada	 	 
	Kind of Entity:	 	Corporation	 	 




  


(b)         The Merger. At the Effective Time (as defined below) and subject to and upon the terms and conditions of this Agreement
and the applicable provisions of the Nevada Revised Statutes (the Nevada Revised Statutes, including Chapters 78 and 92A thereof,
hereinafter referred to as the “Nevada Law”), Acquisition Corp. will be merged with and into Seller, the separate
corporate existence of Acquisition Corp. will cease, and Seller will continue as the surviving corporation. Seller as the surviving
corporation after the Merger is referred to in this Agreement from time to time as the “Surviving Corporation.”


 


(c)         Closing; Effective Time. The closing of the transactions contemplated by this Agreement (the “Closing”)
will take place as soon as practicable after the satisfaction or waiver of each of the conditions set forth in ARTICLE VI
but no later than December 31, 2014 (the “Closing Date”). The Closing will take place at the offices of Wilson
& Oskam, LLP, 9110 Irvine Center Drive, Irvine, California 92618, or at such other place as the parties agree in writing. In
connection with the Closing, the parties will cause the Merger to be consummated by filing with the Nevada Secretary of State Articles
of Merger (“Articles of Merger”) as required by Section 92A.200 of the Nevada Law (the time of such filing
being the “Effective Time”).


 


(d)         Effect of the Merger. At the Effective Time, the effect of the Merger will be as provided in this Agreement and the
applicable provisions of the Nevada Law. Without limiting the generality of the foregoing, and subject thereto, at the Effective
Time, all property, rights, privileges, powers and franchises of Seller and Acquisition Corp. will vest in the Surviving Corporation,
and all debts, liabilities and duties of Seller and Acquisition Corp. will become the debts, liabilities and duties of the Surviving
Corporation.


 






    	2



    	 



    

 


(e)         Articles of Incorporation and Bylaws of the Surviving Corporation. The Articles of Incorporation and bylaws of Seller,
in effect at the Effective Time will be the Articles of Incorporation and bylaws of the Surviving Corporation until amended in
accordance with applicable Law.


 


(f)         Board of Directors of Surviving Corporation and Buyer. From and after the Effective Time, until successors are duly
elected or appointed and qualified in accordance with applicable Law:


 


(i)         Raaj Kapur Brar and others as appointed by the directors will be the directors of the Surviving Corporation (with Raaj Kapur
Brar being the Chairman of the Board), and


 


(ii)         Raaj
Kapur Brar will be the Chief Executive Officer and President of the Surviving Corporation.


 


1.2.         Effect on Capital Stock. By virtue of the Merger and without any action on the part of Seller or the holders of any
of the following securities at the Effective Time:


 


(a)         Conversion of Seller Common Stock. All of the Seller Common Stock shall be converted into a number of shares of Buyer
Common Stock that will represent ninety five percent (95%) of the outstanding shares of Buyer immediately after the Effective Time,
on a fully diluted basis after giving effect to the Reverse Stock Split (the “Acquisition Shares”). The number
of Acquisition Shares shall be approximately 712,500,000 shares of Buyer Common Stock (on a post Reverse Stock Split basis). Each
issued and outstanding share of Seller Common Stock at the Effective Time will be converted into the right to receive a number
of Acquisition Shares equal to (i) the total number of Acquisition Shares, divided by (ii) the number of Common shares of Seller
outstanding immediately prior to Effective Time.


 


(b)         No Fractional Shares. Notwithstanding any other provision of this Agreement, no fractional shares of Buyer Common
Stock will be issued in connection with the Merger. Any Stockholder of Seller who in connection with the Merger is entitled to
receive a fractional share of Buyer Common Stock shall receive the next whole number of shares of Buyer Common Stock.


 


(c)         Shares Subject to Repurchase Options. If shares of Seller Common Stock outstanding immediately before the Effective
Time are unvested or are subject to a repurchase option, risk of forfeiture or other condition under any applicable restricted
stock purchase agreement, stock option exercise agreement or other agreement with Seller, then the shares of Buyer Common Stock
issued in exchange for such shares of Seller Common Stock also will be unvested and subject to the same repurchase option, risk
of forfeiture or other condition, and the certificates representing such shares of Buyer Common Stock shall be marked accordingly
with appropriate legends.


 






    	3



    	 



    

 


(d)         Dissenters’ Rights of Stockholders of Seller. Seller Dissenting Shares (if any) will not be converted into
shares of Buyer Common Stock but instead will be converted into the right to receive such consideration as may be determined to
be due with respect to such Seller Dissenting Shares pursuant to the Nevada Law. Seller will give Buyer prompt notice of any demand
received by Seller to require Seller to purchase shares of Seller Common Stock, and Buyer will have the right to direct and participate
in all negotiations and proceedings with respect to such demand. Except with the prior written consent of Buyer, or as required
under the Nevada Law, Seller will not voluntarily make any payment with respect to, or settle or offer to settle, any such purchase
demand. Each holder of Seller Dissenting Shares (a “Seller Dissenting Stockholder”) who, pursuant to the provisions
of the Nevada Law, becomes entitled to payment of the fair value for shares of Seller Common Stock will receive payment therefor
(but only after the value therefor has been agreed on or finally determined pursuant to such provisions). If, after the Effective
Time, Seller Dissenting Shares held by any Stockholder of Seller lose their status as Seller Dissenting Shares, then Buyer will
issue and deliver, upon surrender by such Stockholder of Seller of a certificate or certificates representing shares of Seller
Common Stock, the number of shares of Buyer Common Stock to which such Stockholder of Seller otherwise would be entitled under
this ARTICLE I.


 


(e)         Certificate Legends. The shares of Buyer Common Stock to be issued pursuant to this ARTICLE I will not be
registered and will be characterized as “restricted securities” under the federal securities laws, and under such laws
such shares may be resold without registration under the Securities Act only in certain limited circumstances. Each certificate
evidencing shares of Buyer Common Stock to be issued pursuant to this ARTICLE I will bear the following legend:


 


THESE SECURITIES HAVE NOT BEEN REGISTERED
UNDER THE SECURITIES ACT OF 1933, AS AMENDED (THE “SECURITIES ACT”), OR UNDER ANY APPLICABLE STATE SECURITIES LAW.
THESE SECURITIES MAY NOT BE SOLD, OFFERED, PLEDGED, HYPOTHECATED OR OTHERWISE TRANSFERRED EXCEPT (i) PURSUANT TO REGISTRATION UNDER
THE SECURITIES ACT OR PURSUANT TO AN AVAILABLE EXEMPTION FROM REGISTRATION AND (ii) IN ACCORDANCE WITH THE RESTRICTIONS AND CONDITIONS
SET FORTH IN A STOCKHOLDER CERTIFICATE BY AND BETWEEN THE HOLDER OF THESE SECURITIES AND THE ISSUER. A COPY OF SUCH STOCKHOLDER
CERTIFICATE SHALL BE FURNISHED BY THE ISSUER TO THE HOLDER HEREOF UPON WRITTEN REQUEST. THE ISSUER OF THESE SECURITIES MAY REQUIRE
AN OPINION OF LEGAL COUNSEL, IN FORM AND SUBSTANCE REASONABLY SATISFACTORY TO THE ISSUER, TO THE EFFECT THAT ANY SALE OR TRANSFER
OF THESE SECURITIES WILL BE IN COMPLIANCE WITH THE SECURITIES ACT AND ALL APPLICABLE STATE SECURITIES LAWS.


 


1.3.         Surrender of Certificates.


 


(a)         Exchange Agent. Buyer’s transfer agent and registrar will act as the exchange agent (the “Exchange
Agent”) in the Merger.


 


(b)         Buyer to Provide Buyer Common Stock. Promptly after the Effective Time, Buyer will make available to the Exchange
Agent for exchange in accordance with this ARTICLE I through such reasonable procedures as Buyer may adopt (i) the
shares of Buyer Common Stock issuable pursuant to Sections 1.2(a) and 1.2(b) in exchange for shares of Seller
Common Stock outstanding immediately before the Effective Time.


 






    	4



    	 



    

 


(c)         Exchange Procedures. Promptly after the Effective Time, the Surviving Corporation will cause to be mailed or otherwise
delivered to each holder of record of a certificate or certificates (the “Certificates”) that immediately before
the Effective Time represented outstanding shares of Seller Common Stock, whose shares were converted into the right to receive
shares of Buyer Common Stock pursuant to Sections 1.2(a) and 1.2(b), (i) a letter of transmittal (which
will specify that delivery will be effected, and risk of loss and title to the Certificates will pass, only upon receipt of the
Certificates by the Exchange Agent and will be in such form and have such other provisions as Buyer may reasonably specify) and
(ii) instructions for use in effecting the surrender of the Certificates in exchange for certificates representing shares
of Buyer Common Stock. Upon surrender of a Certificate for cancellation to the Exchange Agent, together with such letter of transmittal,
duly completed and validly executed in accordance with the instructions thereto, the holder of such Certificate will be entitled
to receive in exchange therefor a certificate representing the number of whole shares of Buyer Common Stock that such holder has
the right to receive pursuant to Sections 1.2(a) and 1.2(b), and the Certificate so surrendered will forthwith
be canceled. Until so surrendered, each outstanding Certificate that, before the Effective Time, represented shares of Seller Common
Stock will be deemed from and after the Effective Time, for all corporate purposes, other than the payment of dividends, to evidence
the ownership of the number of full shares of Buyer Common Stock into which such shares of Seller Common Stock will have been so
converted in accordance with Sections 1.2(a) and 1.2(b).


 


(d)         Distributions With Respect to Unexchanged Shares. No dividends or other distributions with respect to Buyer Common
Stock with a record date after the Effective Time will be paid to the holder of any unsurrendered Certificate with respect to the
shares of Buyer Common Stock represented thereby until the holder of record of such Certificate has surrendered such Certificate.
Subject to applicable Law, following surrender of any such Certificate, there will be paid to the record holder of the certificates
representing whole shares of Buyer Common Stock issued in exchange therefor, without interest at the time of such surrender, the
amount of any such dividend or other distribution with a record date after the Effective Time theretofore payable (but for the
provisions of this Section 1.3(d)) with respect to such shares of Buyer Common Stock.


 


(e)         Transfer of Ownership. If any certificate for shares of Buyer Common Stock is to be issued in a name other than that
in which the Certificate surrendered in exchange therefor is registered, then it will be a condition of the issuance thereof that
the Certificate so surrendered will be properly endorsed and otherwise in proper form for transfer and that the Person requesting
such exchange will have paid to Buyer or any agent designated by Buyer all transfer or other taxes required by reason of the issuance
of a certificate for shares of Buyer Common Stock in any name other than that of the registered holder of the Certificate surrendered
or established to the satisfaction of Buyer or any agent designated by Buyer that such tax has been paid or is not payable.


 


(f)         Termination of Exchange. Any portion of the shares of Buyer Common Stock that remains undistributed to the Stockholders
of Seller two (2) years after the Effective Time will be delivered to Buyer, upon demand, and all Stockholders of Seller who have
not complied previously with this Section 1.3 thereafter will look only to Buyer for payment of their claim for shares
of Buyer Common Stock and any dividend or distribution with respect to such shares of Buyer Common Stock.


 






    	5



    	 



    

 


(g)         Seller Dissenting Shares. The provisions of this Section 1.3 also will apply to Seller Dissenting Shares
that lose their status as such, except that the obligations of Buyer under this Section 1.3 will commence on the date
of loss of such status, and the holder of such shares will be entitled to receive in exchange for such shares the number of shares
of Buyer Common Stock to which such holder is entitled pursuant to Section 1.2.


 


1.4.         No Further Ownership Rights in Seller Common Stock. All shares of Buyer Common Stock issued upon the surrender for
exchange of shares of Seller Common Stock in accordance with the terms of this Agreement will be deemed to have been issued in
full satisfaction of all rights pertaining to such shares of Seller Common Stock, and there will be no further registration of
transfers on the records of the Surviving Corporation of shares of Seller Common Stock that were outstanding immediately before
the Effective Time. If, after the Effective Time, Certificates are presented to the Surviving Corporation for any reason, they
will be canceled and exchanged as provided in this ARTICLE I.


 


1.5.         Lost, Stolen or Destroyed Certificates. In the event Certificates have been lost, stolen or destroyed, the Exchange
Agent will issue in exchange for such lost, stolen or destroyed Certificates, upon the making of an affidavit of that fact by the
holder thereof, such shares of Buyer Common Stock as may be required pursuant to Section 1.3; provided, however,
that Buyer, in its discretion and as a condition precedent to the issuance thereof, may require the owner of such lost, stolen
or destroyed Certificates to deliver a bond in such sum as Buyer may reasonably direct as indemnity against any claim that may
be made against Buyer, the Surviving Corporation or the Exchange Agent with respect to the Certificates alleged to have been lost,
stolen or destroyed.


 


1.6.         Tax Consequences. The parties intend that the Merger will constitute a reorganization within the meaning of Section
368(a) of the Code.


 


1.7.         Taking of Necessary Action; Further Action. If at any time after the Effective Time any further action is necessary
or desirable to carry out the purposes of this Agreement, then the officers and directors of Buyer and Seller are fully authorized
in the name of their respective corporations or otherwise to take, and will take, all such lawful and necessary action, so long
as such action is not inconsistent with this Agreement.


 


ARTICLE II

REPRESENTATIONS AND WARRANTIES OF SELLER


 


Seller hereby represents
and warrants to Buyer that the statements contained in this ARTICLE II are true and correct as of the date of this Agreement
and as of the Effective Time (except for any such representation and warranty that expressly is made as of a specific date, in
which case such representation and warranty shall be true and correct as of such date), subject to such qualifications as are set
forth in the disclosure schedule delivered by Seller to Buyer concurrently with the execution of this Agreement (the “Seller
Disclosure Schedule”). The Seller Disclosure Schedule shall be arranged according to specific Sections in this ARTICLE
II and shall provide exceptions to, or otherwise qualify in reasonable detail, only the corresponding Section in this ARTICLE
II.


 






    	6



    	 



    

 


2.1.         Organization and Related Matters.


 


(a)         Seller is a corporation duly organized, validly existing and in good standing under the law of Ontario, Canada. Seller has
all corporate power, Permits and Approvals necessary to own its properties and assets and to carry on its business as now conducted
and is duly qualified or licensed to do business as a foreign corporation in good standing in all jurisdictions in which the character
or the location of the assets owned or leased by Seller or the nature of the business conducted by Seller requires licensing or
qualification and where the failure to be so licensed or qualified would have a Seller Material Adverse Effect. Section 2.1
of the Seller Disclosure Schedule correctly lists the current directors and executive officers of Seller. Seller is not a registered
or reporting company under the Exchange Act.


 


(b)         Seller has delivered to Buyer true, correct and complete copies of the Organizational Documents of Seller and of the Seller
Subsidiary, as currently in effect.


 


2.2.         Capitalization.


 


(a)         The authorized capital stock of Seller is as set forth under Schedule 2.2 hereof. Currently and at the Closing Date and
immediately before the Effective Time, there will be outstanding only those shares of Seller Capital Stock held by the sole owner
set forth under Schedule 2.2. All outstanding capital stock of Seller has been duly authorized and validly issued and is fully
paid and non-assessable.


 


(b)         As of the date hereof and as of the Closing, Seller has and shall have reserved no capital stock for issuance pursuant to
outstanding options, warrants and rights, and Seller has no stock incentive plan. 


 


(c)         Except as set forth in this Section and in Section 2.2 of the Seller Disclosure Schedule, there are no outstanding
(i) shares of capital stock or voting securities of Seller, (ii) securities of Seller convertible into or exchangeable for shares
of capital stock or voting securities of Seller or (iii) options, warrants, restricted stock, other stock-based compensation awards
or other rights to acquire from Seller or other obligations of Seller to issue any capital stock, voting securities or securities
convertible into or exchangeable for capital stock or voting securities of Seller. There are no outstanding obligations of Seller
to repurchase, redeem or otherwise acquire any of the securities referred to in clauses (i), (ii) or (iii) above in this paragraph.


 


2.3.         Financial Statements.


 


(a)         Seller has delivered to Buyer (a) an unaudited balance sheet of Seller as of March 31, 2014 (the “Seller Interim
Balance Sheet,” and, such date, the “Seller Interim Balance Sheet Date”), (b) unaudited balance sheets
of Seller for the two most recent fiscal years (or since inception if less than two years) and the related audited statements of
operations, changes in stockholder’s equity and cash flow of Seller, together with the audit report thereon of Seller’s
independent certified public accountants (the “Seller Financial Statements”) and Seller will deliver to Buyer
(c) an unaudited balance sheet as of the Closing Date (the “Seller Closing Date Balance Sheet”) and the related
unaudited statement of operations for the period from December 31, 2013 through the Closing Date. Such financial statements and
notes thereto fairly present the financial condition and the results of operations, changes in stockholder’s equity and cash
flow of Seller as at the respective dates of and for the periods referred to in such financial statements, subject in the case
of interim financial statements to normal recurring year-end adjustments (the effect of which will not, individually or in the
aggregate, be materially adverse) and the absence of notes (that, if presented, would not differ materially from those included
in the Seller Interim Balance Sheet).


 






    	7



    	 



    

 


(b)         Except as set forth in Section 2.3 of the Seller Disclosure Schedule, since the Seller Interim Balance Sheet
Date, whether or not in the Ordinary Course of Business, there has not been, occurred or arisen:


 


(i)         any event, occurrence, development or state of circumstances or facts that would, individually or in the aggregate, have
a material adverse effect on the Business;


 


(ii)        any declaration,
setting aside or payment of any dividend or other distribution with respect to any shares of Seller Capital Stock, or any repurchase,
redemption or other acquisition by Seller of any outstanding shares of capital stock or other securities of, or other ownership
interests in, Seller;


 


(iii)       any incurrence,
assumption or guarantee by Seller of any indebtedness for borrowed money;


 


(iv)       any creation or other incurrence by Seller of any Encumbrance on any material asset;


 


(v)         any making of any material loan, advance or capital contribution to or investment in any Person;


 


(vi)        any damage, destruction or other casualty loss (whether or not covered by insurance) affecting the Business;


 


(vii)       any transaction or commitment made, or any Contract entered into by Seller, involving the acquisition or disposition of
any material asset of Seller;


 


(viii)     
(i) any grant of any severance or termination pay to any current or former independent contractor, employee, officer or
director of Seller, (ii) any increase in benefits payable under any existing severance or termination pay policies or
employment Contract to which Seller is party, (iii) the entering into of any employment, deferred compensation or other
similar Contract (or any amendment to any such existing Contract) by Seller with any current or former independent
contractor, director, officer or employee of Seller, (iv) the establishment, adoption or material amendment (except as
required by applicable Law or Legal Requirement) by Seller of any collective bargaining, bonus, profit-sharing, thrift,
pension, retirement, deferred compensation, compensation, stock option, restricted stock or other benefit plan or arrangement
covering any current or former director, officer or employee of Seller or (v) any increase in compensation, bonus or
other benefits payable to any current or former director, officer or employee of Seller;


 






    	8



    	 



    

 


(ix)        amendment to the Organizational Documents of Seller;


 


(x)         payment or increase by Seller of any bonus, salary or other compensation to any independent contractor, stockholder, director,
officer or (except in the Ordinary Course of Business) employee or entry into any employment, severance or similar Contract with
any director, officer or employee; or


 


(xi)        sale (other than sales of inventory in the Ordinary Course of Business), lease or other disposition of any asset or property
of Seller or mortgage, pledge or imposition of any lien or other encumbrance on any material asset or property of Seller, including
the sale, lease or other disposition of any Intellectual Property.


 


2.4.         Absence of Certain Changes or Events. Since the Seller Interim Balance Sheet Date, except as contemplated by or as
disclosed in this Agreement, Seller has conducted its business only in the Ordinary Course of Business, and, since the Seller Interim
Balance Sheet Date, there has not been any Seller Material Adverse Effect.


 


2.5.         Taxes. Except as set forth in Section 2.5 of the Seller Disclosure Schedule:


 


(a)         All Tax Returns required to be filed by or with respect to Seller have been timely filed, and all such Tax Returns are complete
and correct in all material respects. Seller has paid all Taxes that are due from or with respect to Seller for the periods covered
by such Tax Returns and has made all required estimated Tax payments sufficient to avoid penalties for underpayment. The accrual
for Taxes in the Interim Balance Sheet is adequate to cover all unpaid Taxes (whether or not disputed and whether or not due) of
Seller with respect to all taxable periods ending on or before December 31, 2013. Seller has not incurred any Tax after December
31, 2013, except for Taxes incurred in the Ordinary Course of Business.


 


(b)         (i) the Tax Returns referred to in clause (a) above have not been examined by the IRS or other appropriate Governmental
Entity, or the period for assessment of the Taxes in respect of which such Tax Returns were required to be filed has expired, (ii) there
is no audit, examination, suit, investigation or similar proceeding pending or, to the Knowledge of Seller, proposed or threatened
with respect to Taxes of Seller, and, to the Knowledge of Seller, no basis exists therefor; and (iii) there are no outstanding
waivers extending the statutory period of limitation relating to the payment of Taxes due from Seller.


 


(c)         Section 2.6(c) of the Seller Disclosure Schedule sets forth the amount of net operating losses, net capital
losses, foreign Tax credits and investment and other Tax credits of Seller as of the date of the Interim Balance Sheet.


 


(d)         All Taxes that Seller has been required by Law or Legal Requirement to withhold or to collect for payment have been duly
withheld and collected and have been paid or accrued, reserved against and added on the books of Seller. Seller has complied in
all material respects with all information reporting and backup withholding requirements, including maintenance of required records
with respect thereto, in connection with amounts paid or owing to any employee, independent contractor, creditor, stockholder or
other third party.


 






    	9



    	 



    

 


(e)         There are no liens for Taxes on the assets of Seller, except for liens relating to current Taxes not yet due and payable.


 


(f)         All Tax Returns filed by (or that include on a consolidated basis) Seller are true, correct and complete. There is no tax
sharing agreement that will require any payment by Seller after the date of this Agreement. Seller is not, and within the five-year
period preceding the Closing Date has not been, an “S” corporation.


 


2.6.         Contracts; No Defaults.


 


(a)         Section 2.6 of the Seller Disclosure Schedule lists each Contract to which Seller is a party or to which Seller
or any of Seller’s properties is subject or by which any thereof is bound that is deemed a Material Contract under this Agreement.
Unless otherwise so noted in Section 2.6 of the Seller Disclosure Schedule, each such Seller Material Contract was
entered into in the Ordinary Course of Business. Each Seller Material Contract that (a) after the Balance Sheet Date obligates
Seller to pay or receive an amount of $50,000 or more, (b) has an unexpired term as of the date of this Agreement in excess
of one year, (c) represents a Contract upon which the Business is substantially dependent or which otherwise could be material
to the Business, (d) relates to indebtedness for money borrowed or provides for an extension of credit, (e) limits or
restricts the ability of Seller to compete or otherwise to conduct its business in any manner or place, (f) provides for a
guaranty or indemnity by Seller, (g) grants a power of attorney, agency or similar authority to another Person, (h) contains
a right or obligation of any Associate, Affiliate, officer or director of Seller to Seller, (i) is an employment contract,
consulting agreement, stockholder agreement or voting trust or (j) was not made in the Ordinary Course of Business will be
deemed to be a Material Contract and has been identified in Section 2.6 of the Seller Disclosure Schedule. True copies
of the Seller Material Contracts appearing in Section 2.6 of the Seller Disclosure Schedule, including all amendments
and supplements thereto, and a written description of the terms of all oral Seller Material Contracts, have been delivered to Buyer.


 


(b)         Section 2.6 of the Seller Disclosure Schedule lists (under the appropriate subsection) all of the Seller Material
Contracts (if any). In addition (as applicable), Section 2.6(b) of the Seller Disclosure Schedule sets forth reasonably
complete details about such Seller Material Contracts, including the parties to such Seller Material Contracts, the amount of the
remaining commitment of Seller under such Seller Material Contracts and the Seller offices where details relating to the Seller
Material Contracts are located.


 


(c)         Except as set forth in Section 2.6(c) of the Seller Disclosure Schedule, each Seller Material Contract identified
or required to be identified in Section 2.6 of the Seller Disclosure Schedule is in full force and effect and is valid
and enforceable in accordance with its terms.


 


(d)         Each Seller Material Contract is valid and subsisting; Seller has duly performed all of Seller’s obligations thereunder
to the extent that such obligations to perform have accrued; and no breach or default, alleged breach or default, or event that
would (with the passage of time, notice or both) constitute a material breach or default, thereunder by Seller or, to the Knowledge
of Seller, any other party or obligor with respect thereto, has occurred or as a result of this Agreement or performance hereof
will occur. Consummation of the transactions contemplated by this Agreement will not (and will not give any Person a right to)
terminate or modify any right of, or accelerate or augment any obligation of, Seller under any of the Contracts listed in Section 2.6
of the Seller Disclosure Schedule, except as set forth in Section 2.6(e) of the Seller Disclosure Schedule


 






    	10



    	 



    

 


2.7.         Assets; Absence of Liens and Encumbrances. Except as set forth in Section 2.7 of the Seller Disclosure Schedule,
Seller owns, leases or has the legal right to use all of the material assets, properties and rights of every kind, nature, character
and description, including real property and personal property (other than Intellectual Property, which is covered by Section
2.9), used or intended to be used in the conduct of the Seller Business or otherwise owned or leased by Seller and, with respect
to contract rights, is a party to and enjoys the right to the benefits of all Seller Material Contracts used or intended to be
used by Seller in or relating to the conduct of the Seller Business (all such properties, assets and contract rights being the
“Seller Assets”). Seller has good and marketable title to, or, in the case of leased or subleased Seller Assets,
valid and subsisting leasehold interests in, all the Seller Assets, free and clear of all mortgages, liens, pledges, charges, claims,
defects of title, restrictions, infringements, security interests or encumbrances of any kind or character (“Liens”)
except for (x) Liens for current Taxes not yet due and payable and (y) Liens that have arisen in the Ordinary Course of Business
and that do not, individually or in the aggregate, materially detract from the value, or materially interfere with the present
or contemplated use, of the Seller Assets subject thereto or affected thereby.


 


2.8.         No Undisclosed Liabilities. Except as set forth in Section 2.8 of the Seller Disclosure Schedule, Seller
has no liabilities or obligations of any nature (whether known or unknown and whether absolute, accrued, contingent or otherwise)
except for liabilities or obligations reflected or reserved against in the Seller Interim Balance Sheet and current liabilities
incurred in the Ordinary Course of Business since the Seller Interim Balance Sheet Date.


 


2.9.         Intellectual Property. Section 2.9 of the Seller Disclosure Schedule contains a complete and correct list
of (a) all Intellectual Property that is owned by Seller and primarily related to, used in, held for use in connection with
or necessary for the conduct of, or otherwise material to, the Seller Business, (b) all Contracts pursuant to which Seller
has licensed Intellectual Property to, or the use of Intellectual Property otherwise is permitted by, any other Person and (c) all
Contracts pursuant to which Seller has had Intellectual Property licensed to Seller or otherwise has been permitted to use Intellectual
Property.


 


2.10.         Corporate Authorization. Subject to required approval by the Stockholders of Seller, Seller has all requisite corporate
power and authority to execute, deliver and perform each Transaction Document to which it is a party. The execution, delivery and
performance of the Transaction Documents to which Seller is a party have been duly authorized by all necessary corporate action
on the part of Seller, subject only to the approval of the Merger by the Stockholders of Seller as contemplated by Section 6.1(a).
This Agreement constitutes, and the other Transaction Documents to which Seller is a party, when executed by Seller, will constitute,
the valid and binding obligations of Seller, enforceable against Seller in accordance with their respective terms. The affirmative
vote of the holders of a majority of the then-outstanding shares of Seller Common Stock is the only vote of the holders of Seller
Common Stock necessary under the Nevada Law to approve this Agreement and the transactions contemplated hereby. Seller’s
Board of Directors has (a) unanimously approved and adopted this Agreement and the Merger, (b) determined that in its
opinion the Merger is in the best interests of the Stockholders of Seller and is on terms that are fair to the Stockholders of
Seller and (c) recommended that the Stockholders of Seller approve this Agreement and the Merger.


 






    	11



    	 



    

 


2.11.         Authorization. The execution, delivery and performance by Seller of the Transaction Documents to which Seller is
a party and the consummation of the transactions contemplated thereby require no action by or in respect of, or filing with, any
Governmental Entity except for (a) the filing of the Articles of Merger as provided in Section 1.1 and (b) other
filings and Approvals described in Section 2.11 of the Seller Disclosure Schedule (if any).


 


2.12.         Non-Contravention.


 


(a)         The execution, delivery and performance by Seller of the Transaction Documents to which Seller is a party and the consummation
by Seller of the transactions contemplated thereby do not and will not (i) violate the charter documents of Seller, (ii) assuming
compliance with the matters referred to in Section 2.11 of the Seller Disclosure Schedule, violate any applicable Law or
Legal Requirement, (iii) require any consent or other action by any Person under, constitute a default under or give rise
to any right of termination, cancellation or acceleration of any right or obligation of Seller or to a loss of any benefit to which
Seller is entitled under any provision of any Seller Material Contract or any Permit or Approval affecting, or relating in any
way to, the Seller Business or (iv) result in the creation or imposition of any Encumbrance on any asset of Seller or of the
Seller Subsidiary except, in the case of clauses (ii), (iii) and (iv), for such matters as would not, individually or in the
aggregate, have a Seller Material Adverse Effect or materially impair the ability of Seller to consummate the transactions contemplated
by this Agreement.


 


(b)         Except as set forth in Section 2.12 of the Seller Disclosure Schedule, neither the execution and delivery of this
Agreement nor the consummation or performance of any of the transactions contemplated hereby will, directly or indirectly (with
or without notice or lapse of time): (i) contravene, conflict with or result in a violation of (A) any provision of the Organizational
Documents of Seller or (B) any resolution adopted by the Board of Directors or the Stockholders of Seller; (ii) contravene,
conflict with or result in a violation of, or give any Governmental Entity or other Person the right to challenge any of the transactions
contemplated by this Agreement or to exercise any remedy or obtain any relief under, any Legal Requirement or any Order to which
Seller, or any of the assets owned or used by Seller, may be subject; (iii) contravene, conflict with or result in a violation
of any of the terms or requirements of, or give any Governmental Entity the right to revoke, withdraw, suspend, cancel, terminate
or modify, any Governmental Authorization that is held by Seller or that otherwise relates to the business of, or any of the assets
owned or used by, Seller ; (iv) contravene, conflict with or result in a violation or breach of any provision of, or give any Person
the right to declare a default or exercise any remedy under, or to accelerate the maturity or performance of, or to cancel, terminate
or modify, any Seller Contract; or (v) result in the imposition or creation of any Encumbrance on or with respect to any of the
assets owned or used by Seller.


 






    	12



    	 



    

 


2.13.         Legal Proceedings. No Order has been issued and no Action is pending, or, to the Knowledge of Seller, threatened
against or affecting Seller or any of its properties or assets that individually or when aggregated with one or more other Orders
or Actions has or might reasonably be expected to have a Seller Material Adverse Effect or materially impair the ability of Seller
to perform Seller’s obligations under the Transaction Documents or any aspect of the transactions contemplated thereby. There
is no matter as to which Seller has received any notice, claim or assertion, or, to the Knowledge of Seller, that otherwise has
been threatened or is reasonably expected to be threatened or initiated, against or affecting any director, officer, employee,
agent or representative of Seller or any other Person, nor to the Knowledge of Seller is there any reasonable basis therefore,
in connection with which any such Person has or may reasonably be expected to have any right to indemnification by Seller.


 


2.14.         Compliance With Law and Legal Requirements; Governmental Authorizations.


 


(a)         Except as set forth in Section 2.14(a) of the Seller Disclosure Schedule:


 


(i)         Seller is, and at all times since the date of its respective initial incorporation, formation or organization has been,
in full compliance with each Law and Legal Requirement that is or was applicable to it or to the conduct or operation of its business
or the ownership or use of any of its assets;


 


(ii)        no event has occurred or circumstance exists that (with or without notice or lapse of time) (A) may constitute or result
in a violation by Seller of, or a failure on the part of Seller to comply with, any Law or Legal Requirement or (B) may give
rise to any obligation on the part of Seller to undertake, or to bear all or any portion of the cost of, any remedial action of
any nature; and


 


(iii)       Seller has not received, at any time since the date of its respective initial incorporation, formation or organization,
any notice or other communication (whether oral or written) from any Governmental Entity or any other Person regarding (A) any
actual, alleged, possible or potential violation of, or failure to comply with, any Law or Legal Requirement or (B) any actual,
alleged, possible or potential obligation on the part of Seller to undertake, or to bear all or any portion of the cost of, any
remedial action of any nature.


 


(b)         Section 2.14(b) of the Seller Disclosure Schedule contains a complete and accurate list of each Governmental
Authorization that is held by Seller or that otherwise relates to the business of, or to any of the assets owned or used by, Seller.
Each Governmental Authorization listed or required to be listed in Section 2.14(b) of the Seller Disclosure Schedule
is valid and in full force and effect.


 


2.15.         Minute Books. The minute books of Seller accurately reflect all material actions and proceedings taken to date by
the Stockholders of Seller, the Board of Directors of Seller and committees thereof, and such minute books contain true and complete
copies of the charter documents of Seller and all related amendments. The stock record book of Seller reflects accurately all transactions
in Seller’s capital stock of all classes.


 


2.16.         Due Diligence Materials. All documents, agreements and other materials provided by Seller to Buyer or any representative
of Buyer in connection with the due diligence conducted in connection with the transactions contemplated by this Agreement have
been true, correct and complete originals or copies of the documents, agreements and other materials purported to be provided or
to which access has been given.


 






    	13



    	 



    

 


2.17.         Tax Matters. Neither Seller nor any of Seller’s Affiliates has taken or agreed to take any action that would
prevent the Merger from constituting a reorganization qualifying under Section 368(a) of the Code. Seller is not aware of any agreement,
plan or other circumstance that would prevent the Merger from qualifying as a reorganization under Section 368(a) of the Code.


 


2.18.         Disclosure.


 


(a)         No representation or warranty of Seller in this Agreement and no statement in the Seller Disclosure Schedule omits to state
a material fact necessary to make the statements herein or therein, in light of the circumstances in which they were made, not
misleading.


 


(b)         No notice given pursuant to Section Error! Reference source not found. will contain any untrue statement
or omit to state a material fact necessary to make the statements therein or in this Agreement, in light of the circumstances in
which they were made, not misleading.


 


2.19.         Brokers Or Finders. No Brokers have been involved on behalf of Seller in this Agreement and the contemplated transactions.


 


ARTICLE III

REPRESENTATIONS AND WARRANTIES OF BUYER


 


Buyer hereby represents
and warrants to Seller and the Stockholders of Seller that the statements contained in this ARTICLE III are true and correct
as of the date of this Agreement and as of the Effective Time (except for any such representation and warranty that expressly is
made as of a specific date, in which case such representation and warranty shall be true and correct as of such date), subject
to such qualifications as are set forth in the disclosure schedule delivered by Buyer to Seller concurrently with the execution
of this Agreement (the “Buyer Disclosure Schedule”). The Buyer Disclosure Schedule shall be arranged according
to specific Sections in this ARTICLE III and shall provide exceptions to, or otherwise qualify in reasonable detail, only
the corresponding Section in this ARTICLE III.


 


3.1.         Organization and Related Matters.


 


(a)         Buyer is a corporation duly organized, validly existing and in good standing under the Nevada Law. Buyer has all corporate
power, Permits and Approvals necessary to own its properties and assets and to carry on its business as now conducted and is duly
qualified or licensed to do business as a foreign corporation in good standing in all jurisdictions in which the character or the
location of the assets owned or leased by Buyer or the nature of the business conducted by Buyer requires licensing or qualification
and where the failure to be so licensed or qualified would have a Buyer Material Adverse Effect. Section 3.1(a) of
the Buyer Disclosure Schedule correctly lists the current directors and executive officers of Buyer. Buyer is a registered or reporting
company under the Exchange Act.


 






    	14



    	 



    

 


(b)         Buyer has delivered to Seller, or publicly disclosed in its filings with the SEC, true, correct and complete copies of the
Organizational Documents of Buyer, as currently in effect.


 


3.2.         Capitalization.


 


(a)         The authorized capital stock of Buyer consists of 2,000,000,000 shares of Common Stock, par value $0.001 (the “Common
Stock”) and 100,000,000 shares of preferred stock, par value $0.001 per share (the “Preferred Stock”). On the
date of this Agreement, there are outstanding approximately 1,222,366,295 shares of Buyer Common Stock, which number the Buyer
anticipates will continue to increase as Buyer settles outstanding obligations prior to the Closing. On the date of this Agreement,
no shares of preferred stock are outstanding. All outstanding shares of Buyer Common Stock have been duly authorized and validly
issued and are fully paid and non-assessable.


 


(b)         The only stock incentive plan, stock option plan or any other similar plan or arrangement currently in effect is Buyer’s
2007 Stock Option Plan.


 


(c)         Except as set forth in this Section and in Section 3.2 of the Buyer Disclosure Schedule, there are no outstanding
(i) shares of capital stock or voting securities of Buyer, (ii) securities of Buyer convertible into or exchangeable for shares
of capital stock or voting securities of Buyer or (iii) options, warrants, restricted stock, other stock-based compensation awards
or other rights to acquire from Buyer or other obligations of Buyer to issue any capital stock, voting securities or securities
convertible into or exchangeable for capital stock or voting securities of Buyer. There are no outstanding obligations of Buyer
to repurchase, redeem or otherwise acquire any securities referred to in clauses (i), (ii) or (iii) above in this paragraph.


 


3.3.         Financial Statements.


 


(a)         Buyer has delivered
to Seller (a) an unaudited consolidated balance sheet of Buyer as of March 31, 2014 (the “Buyer Interim Balance Sheet,”
and, such date, the “Buyer Interim Balance Sheet Date”) (b) audited consolidated balance sheets of Buyer
as of December 31, 2013 and 2012 and the related unaudited income statements, statements of operations, cash flows, for the years
then ended, 2013 and 2012. Such financial statements and notes thereto fairly present the financial condition and the results
of operations, changes in stockholder’s equity and cash flow of Buyer as at the respective dates of and for the periods
referred to in such financial statements, all in accordance with GAAP, subject in the case of interim financial statements to
normal recurring year-end adjustments (the effect of which will not, individually or in the aggregate, be materially adverse)
and the absence of notes (that, if presented, would not differ materially from those included in the Buyer Interim Balance Sheet).
The financial statements referred to in this Section 3.3 reflect the consistent application of such accounting principles
throughout the periods involved. No financial statements of any other Person are required by GAAP to be included in the financial
statements of Buyer. All of the foregoing financial statements are referred to collectively in this Agreement as the “Buyer
Financial Statements.”


 






    	15



    	 



    

 


(b)         Except as set forth in Section 3.3 of the Buyer Disclosure Schedule, since the Buyer Interim Balance Sheet
Date, whether or not in the Ordinary Course of Business, there has not been, occurred or arisen:


 


(i)         any event, occurrence, development or state of circumstances or facts that would, individually or in the aggregate, have
a material adverse effect on the Business;


 


(ii)        any declaration, setting aside or payment of any dividend or other distribution with respect to any shares of Buyer Capital
Stock, or any repurchase, redemption or other acquisition by Buyer of any outstanding shares of capital stock or other securities
of, or other ownership interests in, Buyer;


 


(iii)       any incurrence, assumption or guarantee by Buyer of any indebtedness for borrowed money;


 


(iv)       any creation or other incurrence by Buyer of any Encumbrance on any material asset;


 


(v)         any making of any material loan, advance or capital contribution to or investment in any Person;


 


(vi)        any damage, destruction or other casualty loss (whether or not covered by insurance) affecting the Business;


 


(vii)       any
transaction or commitment made, or any Contract entered into by Buyer, involving the acquisition or disposition of any material
asset of Buyer;


 


(viii)      amendment
to the Organizational Documents of Buyer;


 


(ix)         payment or increase by Buyer of any bonus, salary or other compensation to any independent contractor, stockholder, director,
officer or (except in the Ordinary Course of Business) employee or entry into any employment, severance or similar Contract with
any director, officer or employee;


 


(x)         entry into, termination of or receipt of notice of termination by Buyer of (i) any license, distributorship, dealer,
sales representative, joint venture, credit or similar agreement or (ii) any Contract or transaction involving a total remaining
commitment by or to Buyer of at least $10,000; or


 


(xi)        sale (other than sales of inventory in the Ordinary Course of Business), lease or other disposition of any asset or property
of Buyer or mortgage, pledge or imposition of any lien or other encumbrance on any material asset or property of Buyer, including
the sale, lease or other disposition of any Intellectual Property.


 


3.4.         Absence of Certain Changes or Events. Since the Buyer Interim Balance Sheet Date, except as contemplated by or as
disclosed in this Agreement, Buyer has conducted its business only in the Ordinary Course of Business, and, since the Buyer Interim
Balance Sheet Date, there has not been any Buyer Material Adverse Effect.


 






    	16



    	 



    

 


3.5.         Taxes. Except as set forth in Section 3.5 of the Buyer Disclosure Schedule:


 


(a)         All Tax Returns required to be filed by or with respect to Buyer have been timely filed, and all such Tax Returns are complete
and correct in all material respects. Buyer has paid all Taxes that are due from or with respect to Buyer for the periods covered
by such Tax Returns and has made all required estimated Tax payments sufficient to avoid penalties for underpayment. The accrual
for Taxes in the Interim Balance Sheet is adequate to cover all unpaid Taxes (whether or not disputed and whether or not due) of
Buyer with respect to all taxable periods ending on or before December 31, 2013. Buyer has not incurred any Tax after December
31, 2013, except for Taxes incurred in the Ordinary Course of Business.


 


(b)         (i) the Tax Returns referred to in clause (a) above have not been examined by the IRS or other appropriate Governmental
Entity, or the period for assessment of the Taxes in respect of which such Tax Returns were required to be filed has expired, (ii) there
is no audit, examination, suit, investigation or similar proceeding pending or, to the Knowledge of Buyer, proposed or threatened
with respect to Taxes of Buyer, and, to the Knowledge of Buyer, no basis exists therefor; and (iii) there are no outstanding
waivers extending the statutory period of limitation relating to the payment of Taxes due from Buyer.


 


(c)         Section 3.5(c) of the Buyer Disclosure Schedule sets forth the amount of net operating losses, net capital losses,
foreign Tax credits and investment and other Tax credits of Buyer as of the date of the Interim Balance Sheet.


 


(d)         All Taxes that Buyer has been required by Law or Legal Requirement to withhold or to collect for payment have been duly
withheld and collected and have been paid or accrued, reserved against and added on the books of Buyer. Buyer has complied in all
material respects with all information reporting and backup withholding requirements, including maintenance of required records
with respect thereto, in connection with amounts paid or owing to any employee, independent contractor, creditor, stockholder or
other third party.


 


(e)         There are no liens for Taxes on the assets of Buyer, except for liens relating to current Taxes not yet due and payable.


 


(f)         All Tax Returns filed by (or that include on a consolidated basis) Buyer are true, correct and complete. There is no tax
sharing agreement that will require any payment by Buyer after the date of this Agreement. Buyer is not, and within the five-year
period preceding the Closing Date has not been, an “S” corporation.


 


3.6.         Contracts.


 


(a)         Section 3.6(a) of the Buyer Disclosure Schedule lists (under the appropriate subsection) all of the Buyer Material
Contracts (if any) which have not been publicly filed with the SEC.


 


(b)         Except as set forth in Section 3.6(b) of the Buyer Disclosure Schedule, each Buyer Material Contract identified or
required to be identified in Section 3.6(a) of the Buyer Disclosure Schedule is in full force and effect and is valid and
enforceable in accordance with its terms.


 






    	17



    	 



    

 


3.7.         Title To Property; Encumbrances Section 3.7 of the Buyer Disclosure Schedule contains a complete and
accurate list of all real property, leaseholds or other interests therein owned by Buyer or any Buyer Subsidiary. Buyer has delivered
or made available to Seller copies of the deeds and other instruments (as recorded) by which Buyer acquired such real property
and interests, and copies of all title insurance policies, opinions, abstracts and surveys in the possession of Buyer and relating
to such property or interests. Buyer does not own any real property.


 


3.8         No Undisclosed
Liabilities. Except as set forth in Section 3.8 of the Buyer Disclosure Schedule, Buyer has no liabilities or obligations
of any nature (whether known or unknown and whether absolute, accrued, contingent or otherwise) except for liabilities or obligations
reflected or reserved against in the Buyer Interim Balance Sheet and current liabilities incurred in the Ordinary Course of Business
since the Buyer Interim Balance Sheet Date. Prior to the Closing Date, Buyer will pay or otherwise satisfy and discharge any and
all liabilities unless otherwise agreed by Seller in writing.


 


3.9         Corporate
Authorization. Subject to required approval by the Stockholders of Buyer, Buyer has all necessary corporate power and authority
to execute, deliver and perform each Transaction Document to which it is a party. The execution, delivery and performance of the
Transaction Documents to which Buyer is a party have been duly authorized by all necessary corporate action on the part of Buyer,
subject only to the approval of the Merger by the Stockholders of Buyer as contemplated by Section 6.1(a). This Agreement
constitutes, and the other Transaction Documents to which Buyer is a party, when executed by Buyer, will constitute, the valid
and binding obligations of Buyer, enforceable against Buyer in accordance with their respective terms. The affirmative vote of
the holders of a majority of the shares of Buyer Common Stock is the only vote of the holders of any Smart Data capital stock necessary
under the Nevada Law to approve this Agreement and the transactions contemplated hereby. Buyer’s Board of Directors has (a) unanimously
approved and adopted this Agreement and the Merger, (b) determined that in its opinion the Merger is in the best interests
of the Stockholders of Buyer and is on terms that are fair to the Stockholders of Buyer and (c) recommended that the Stockholders
of Buyer approve this Agreement and the Merger.


 


3.10         Authorization.
The execution, delivery and performance by Buyer of the Transaction Documents to which Buyer is a party and the consummation of
the transactions contemplated thereby require no action by or in respect of, or filing with, any Governmental Entity except for
(a) the filing of the Articles of Merger as provided in Section 1.1, (b) filings required under the Securities Act
(as applicable), under the Exchange Act and under applicable state Blue Sky Laws and (c) other filings and Approvals described
in Section 3.13 of the Buyer Disclosure Schedule (if any).


 


3.11         Non-Contravention.


 


(a)         The execution, delivery and performance by Buyer of the Transaction Documents to which Buyer is a party and the consummation
by Buyer of the transactions contemplated thereby do not and will not (i) violate the Articles of Incorporation or Bylaws
of Buyer, (ii) assuming compliance with the matters referred to in Section 0 of the Buyer Disclosure Schedule, violate any
applicable Law, (iii) except for the approval of the Stockholders of Buyer, require any consent or other action by any Person
under, constitute a default under or give rise to any right of termination, cancellation or acceleration of any right or obligation
of Buyer or to a loss of any benefit to which Buyer is entitled under any provision of any Contract binding on Buyer or any Permit
or Approval affecting, or relating in any way to, the assets or business of Buyer or (iv) result in the creation or imposition
of any Encumbrance on any material asset of Buyer except, in the case of clauses (ii), (iii) and (iv), for such matters as
would not, individually or in the aggregate, have a Buyer Material Adverse Effect or materially impair the ability of Buyer to
consummate the transactions contemplated by this Agreement.


 






    	18



    	 



    

 


(b)         Except
as set forth in 3.11(b) of the Buyer Disclosure Schedule, neither the execution and delivery of this Agreement nor the
consummation or performance of any of the transactions contemplated hereby will, directly or indirectly (with or without
notice or lapse of time): (i) contravene, conflict with or result in a violation of (A) any provision of the Organizational
Documents of Buyer or (B) any resolution adopted by the Board of Directors or the Stockholders of Buyer; (ii) contravene,
conflict with or result in a violation of, or give any Governmental Entity or other Person the right to challenge any of the
transactions contemplated by this Agreement or to exercise any remedy or obtain any relief under, any Legal Requirement or
any Order to which the Buyer, or any of the assets owned or used by Buyer, may be subject; (iii) contravene, conflict with or
result in a violation of any of the terms or requirements of, or give any Governmental Entity the right to revoke, withdraw,
suspend, cancel, terminate or modify, any Governmental Authorization that is held by Buyer or that otherwise relates to the
business of, or any of the assets owned or used by, Buyer; (iv) contravene, conflict with or result in a violation or breach
of any provision of, or give any Person the right to declare a default or exercise any remedy under, or to accelerate the
maturity or performance of, or to cancel, terminate or modify, any Buyer Contract; or (v) result in the imposition or
creation of any Encumbrance on or with respect to any of the assets owned or used by Buyer.


 


3.12-3.14.
[Intentionally Omitted]


 


3.15.         Legal Proceedings. No Order has been issued and no Action is pending, or, to the Knowledge of Buyer, threatened against
or affecting Buyer or any of Buyer’s properties or assets that individually or when aggregated with one or more other Orders
or Actions has or might reasonably be expected to have a Buyer Material Adverse Effect or materially impair the ability of Buyer
to perform Buyer’s obligations under the Transaction Documents or any aspect of the transactions contemplated thereby. Section 3.15
of the Buyer Disclosure Schedule lists each Order or Action that involves a claim or threatened claim of aggregate liability
in excess of $25,000 against, or that enjoins or compels or seeks to enjoin or to compel any activity by, Buyer. There is no matter
as to which Buyer has received any notice, claim or assertion, or, to the Knowledge of Buyer, that otherwise has been threatened
or is reasonably expected to be threatened or initiated, against or affecting any director, officer, employee, agent or representative
of Buyer, Buyer or any other Person, nor to the Knowledge of Buyer is there any reasonable basis therefor, in connection with which
any such Person has or may reasonably be expected to have any right to indemnification by Buyer.


 


3.16.         Compliance With Law; Governmental Authorizations.


 


(a)         Except as set forth in Section 3.16(a) of the Buyer Disclosure Schedule:


 


(i)         Buyer is, and at all times since the date of its initial incorporation has been, in full compliance with each Law and Legal
Requirement that is or was applicable to it or to the conduct or operation of its business or the ownership or use of any of its
assets;


 






    	19



    	 



    

 


(ii)         no event has occurred or circumstance exists that (with or without notice or lapse of time) (A) may constitute or result
in a violation by Buyer of, or a failure on the part of Buyer to comply with, any Law or Legal Requirement or (B) may give
rise to any obligation on the part of Buyer to undertake, or to bear all or any portion of the cost of, any remedial action of
any nature; and


 


(iii)         Buyer has not received, at any time since the date of its initial incorporation, any notice or other communication (whether
oral or written) from any Governmental Entity or any other Person regarding (A) any actual, alleged, possible or potential
violation of, or failure to comply with, any Law or Legal Requirement or (B) any actual, alleged, possible or potential obligation
on the part of Buyer to undertake, or to bear all or any portion of the cost of, any remedial action of any nature.


 


(b)         Section 3.16(b) of the Buyer Disclosure Schedule contains a complete and accurate list of each Governmental
Authorization that is held by Buyer or that otherwise relates to the business of, or to any of the assets owned or used by, Buyer.
Each Governmental Authorization listed or required to be listed in Section 3.16(b) of the Buyer Disclosure Schedule
is valid and in full force and effect.


 


3.17.         Employees.
Buyer has no employee disputes existing, or to Buyer’s Knowledge, threatened, involving strikes, work stoppages,
slow downs or lockouts.


 


3.18.         Employee Benefits.


 


(a)         Buyer has
no ERISA Affiliates. Buyer has no employee benefit plan, whether written or unwritten, to which Buyer is or during the last three
years has been a party or by which any of them is or during the last three years has been bound, legally or otherwise, including
(i) any profit-sharing, deferred compensation, bonus, stock option, stock purchase, pension, retainer, consulting, retirement,
severance, welfare or incentive plan, agreement or arrangement, (ii) any plan, agreement or arrangement providing for “fringe
benefits” or perquisites to employees, officers, directors or agents, including but not limited to benefits relating to company
automobiles, clubs, vacation, child care, parenting, sabbatical, sick leave, medical, dental, hospitalization, life insurance and
other types of insurance or (iii) any other “employee benefit plan” (within the meaning of Section 3(3) of
ERISA).


 


(i)         The consummation, announcement or other action relating to the transactions contemplated by this Agreement will not (either
alone or upon the occurrence of any additional or further acts or events) result in any (i) payment (whether of severance
pay or otherwise) becoming due from Buyer to any officer, employee, former employee, director or former director thereof or to
the trustee under any “rabbi trust” or similar arrangement or (ii) benefit under any such plan or arrangement
being established, accelerated, vested or payable.


 


3.19.         Environmental Law Compliance. There are no pending or, to Buyer’s Knowledge, threatened claims, suits or proceedings
arising out of or related to any noncompliance with any Environmental Laws in connection with the Business. Buyer has complied
and is in compliance with all Laws applicable to the Business relating to environmental protection, including standards relating
to air, water, land and the generation, storage. transportation, treatment or disposal of, Hazardous Substances (collectively,
“Environmental Laws”), except where non-compliance with any such Laws would not have a material adverse effect
on the Business.


 






    	20



    	 



    

 


3.20.         Related Party Transactions. Except as set forth in Section 3.20 of the Buyer Disclosure Schedule or as
otherwise disclosed in the Notes to the Buyer Financial Statements, no director or officer of Buyer and no Person related to any
of them by consanguinity or marriage has any direct or indirect interest in (i) any equipment or other property, real or personal,
tangible or intangible, including any item of intellectual property, used in connection with or pertaining to the Business, or
(ii) any creditor, supplier, customer, manufacturer, agent, representative, or distributor of products of Buyer; provided,
however, that (A) no such director or officer or other Person will be deemed to have such an interest solely by virtue of
the ownership of less than 5% of the outstanding voting stock or debt securities of any publicly held company, the stock or debt
securities of which are traded on a recognized stock exchange or quoted on the National Association of Securities Dealers Automated
Quotation System, and (B) no such director or officer or other Person will be deemed to have such an interest solely by virtue
of the ownership by a partnership in which he is a partner of less than 5% of the outstanding voting stock or debt securities of
any privately held company.


 


3.21.         Due Diligence Materials. All documents, agreements and other materials provided by Buyer to Seller or any representative
of Seller in connection with the due diligence conducted in connection with the transactions contemplated by this Agreement have
been true, correct and complete originals or copies of the documents, agreements and other materials purported to be provided or
to which access has been given. 


 


3.22.         Tax Matters. Neither Buyer nor any of Buyer’s Affiliates has taken or agreed to take any action that would
prevent the Merger from constituting a reorganization qualifying under Section 368(a) of the Code. Buyer is not aware of any agreement,
plan or other circumstance that would prevent the Merger from qualifying as a reorganization under Section 368(a) of the Code.


 


3.23.         Disclosure. 


 


(a)         No representation or warranty of Buyer in this Agreement and no statement in the Buyer Disclosure Schedule omits to state
a material fact necessary to make the statements herein or therein, in light of the circumstances in which they were made, not
misleading.


 


(b)         No notice given pursuant to Section 3.23(b) will contain any untrue statement or omit to state a material fact necessary
to make the statements therein or in this Agreement, in light of the circumstances in which they were made, not misleading.


 


3.24.         No Brokers Or Finders. No agent, broker, finder, investment or commercial banker or other Person or firm engaged
by or acting on behalf of Buyer or any of its Affiliates or any agent of Buyer or any of its Affiliates in connection with the
negotiation, execution or performance of this Agreement or the transactions contemplated by this Agreement is or will be entitled
to any broker’s or finder’s or similar fee or other commission as a result of this Agreement or such transactions.


 






    	21



    	 



    

 


3.25.         SEC Documents. Except as set forth in Section 3.25 of the Buyer Disclosure Schedule or disclosed herein,
Buyer has filed, or will file prior to the Closing Date, all Buyer SEC Documents required to be filed by Buyer before the date
of this Agreement and before the Effective Time. On April 16, 2014, Buyer filed a comprehensive Annual Report on Form 10-K covering
the fiscal years ended December 31, 2010, 2011 and 2012 and the quarterly periods with respect to each of 2011 and 2012 (the “Comprehensive
2012 Form 10-K”) as part of its efforts to become current in its filing obligations under the Securities Exchange Act of
1934, as amended (the “Exchange Act”). Although the Buyer has regularly made filings through Current Reports on Form
8-K when deemed appropriate, the Comprehensive Form 10-K was the Buyer’s first annual periodic filing with the SEC since
the filing of its Annual Report on Form 10-K for the year ended December 31, 2009. Included in the Comprehensive 2012 Form 10-K
are the Buyer’s unaudited financial statements for the fiscal years ended December 31, 2010, 2011 and 2012, which were not
been previously filed with the SEC. On May 12, 2014, Buyer filed an annual report on Form 10-K with respect to the year ended December
31, 2013 and on May 15, 2014, Buyer filed a Quarterly Report on Form 10-Q for the quarter ended March 31, 2014 (collectively and
together with the Comprehensive 2012 Form 10-K, the “Buyer Periodic Reports”). Except to the extent that information
contained in any Buyer Periodic Reports has been revised or superseded by a later-filed Buyer SEC Document, filed and publicly
available before the date of this Agreement or before the Effective Time, none of the Buyer Periodic Reports contains any untrue
statement of a material fact or omits to state any material fact required to be stated therein or necessary in order to make the
statements therein, in light of the circumstances under which they were made, not misleading.


 


ARTICLE IV

CONDUCT BEFORE CLOSING


 


4.1.         Conduct of Seller. Except as provided in the Transaction Documents, from the date of this Agreement until the Effective
Time, except with the prior written consent of Buyer, Seller will conduct its business in the Ordinary Course of Business consistent
with past practice, and will use its commercially reasonable best efforts to preserve intact its business organization and relationships
with third parties and to keep available the services of its current officers and employees.


 


4.2.         Conduct of Buyer. Except as provided in the Transaction Documents, from the date of this Agreement until the Effective
Time, except with the prior written consent of Seller, Buyer will conduct its business in the Ordinary Course of Business consistent
with past practice and will use its commercially reasonable best efforts to preserve intact its business organization and relationships
with third parties and to keep available the services of its current officer and director.


 


4.3.         No Solicitation of Seller Competing Transactions. Seller will and will direct and use commercially reasonable best
efforts to cause its officers, directors, employees, agents and representatives (including any investment banker, attorney, financial
advisor or accountant retained by Seller) not to initiate, solicit or knowingly encourage, directly or indirectly (including by
way of furnishing non-public information or assistance), or take any other action to facilitate knowingly, any inquiry or the making
of any proposal that constitutes, or reasonably may be expected to lead to, any Seller Competing Transaction, or enter into or
continue discussions or negotiations with any Person in furtherance of such inquiries or to obtain a Seller Competing Transaction,
or agree to or endorse any Seller Competing Transaction, or authorize any of its officers, directors or employees or any investment
banker, financial advisor, attorney, accountant or other representative retained by Seller to take any such action, and Seller
will notify Buyer of all inquiries or proposals that Seller may receive relating to any of such matters and, if such inquiry or
proposal is in writing, will deliver to Buyer a copy of such inquiry or proposal.


 






    	22



    	 



    

 


4.4.         No Solicitation of Buyer Competing Transactions. Buyer will and will direct and use commercially reasonable best
efforts to cause its officers, directors, employees, agents and representatives (including any investment banker, attorney, financial
advisor or accountant retained by Buyer) not to initiate, solicit or knowingly encourage, directly or indirectly (including by
way of furnishing non-public information or assistance), or take any other action to facilitate knowingly, any inquiry or the making
of any proposal that constitutes, or reasonably may be expected to lead to, any Buyer Competing Transaction, or enter into or continue
discussions or negotiations with any Person in furtherance of such inquiries or to obtain a Buyer Competing Transaction, or agree
to or endorse any Buyer Competing Transaction, or authorize any of its officers, directors or employees or any investment banker,
financial advisor, attorney, accountant or other representative retained by Buyer to take any such action, and Buyer will notify
Seller of all inquiries or proposals that Buyer may receive relating to any of such matters and, if such inquiry or proposal is
in writing, will deliver to Seller a copy of such inquiry or proposal.


 


ARTICLE V

ADDITIONAL AGREEMENTS


 


5.1.         Access.


 


(a)         Seller will make available for inspection by Buyer and its representatives, during normal business hours and in a manner
so as not to interfere with normal business operations, all of Seller’s records, premises, Contracts and all other documents
in Seller’s possession or control that are reasonably requested by Buyer and its representatives to inspect and examine the
business and affairs of Seller and any of the Seller Subsidiaries. Seller will cause its managerial employees, legal counsel and
regular independent accountants to be available upon reasonable advance notice to answer questions of Buyer and Buyer’s representatives
about the business and affairs of Seller and the Seller Subsidiary. No examination by Buyer and its representatives will constitute
a waiver or relinquishment by Buyer of its rights to rely on Seller’s covenants, representations and warranties made herein
or pursuant hereto.


 


(b)         Buyer will make available for inspection by Seller and its representatives, during normal business hours and in a manner
so as not to interfere with normal business operations, those of Buyer’s records, premises, Contracts and all other documents
in Buyer’s possession or control that are reasonably requested by Seller and its representatives to inspect and examine the
business and affairs of Buyer Common Stock or the Buyer Preferred Stock (as applicable). Buyer will cause its managerial employees,
legal counsel and regular independent accountants to be available upon reasonable advance notice to answer questions of Seller
and Seller’s representatives about the business and affairs of Buyer. No examination by Seller and its representatives will
constitute a waiver or relinquishment by Seller of its rights to rely on Buyer’s covenants, representations and warranties
made herein or pursuant hereto.


 






    	23



    	 



    

 


5.2.         Due Diligence.


 


(a)         Seller covenants and agrees to all of the terms and provisions set forth in this Section 5.2(a). Between the date
of this Agreement and the Effective Time, in addition to Buyer’s rights provided by Section 5.1(a), Buyer, acting
through Buyer’s own personnel, legal counsel, accountants and other representatives and agents, shall have the full right
to (a) examine the offices, properties, equipment, invoices, customer records, agreement books and records of Seller and of the
Seller Subsidiary, (b) meet and discuss the Seller Business and the operations, history and prospects of the Seller Business with
representatives and employees of Seller and the Seller Subsidiary and (c) otherwise perform such due diligence review of Seller,
the Seller Subsidiary and the Seller Business as Buyer in its sole and absolute discretion deems necessary or appropriate, including
a due diligence review of the Contracts, assets, rights, liabilities and Intellectual Property of Seller . Buyer’s representatives
and agents, with the assistance of Seller’s personnel and the personnel of the Seller Subsidiary, will prepare an inventory
of all assets and other Intellectual Property of Seller and the Seller Subsidiary. Seller shall promptly provide to Buyer copies
of all documents related to the Seller Business that Buyer reasonably requests. Buyer and Buyer’s representatives and agents
shall be permitted to meet with representatives and employees of Seller individually and as a group. The due diligence review by
Buyer will be at Buyer’s sole expense, except that Seller shall make Seller’s and the Seller Subsidiary’s employees,
representatives, officers and accountants available to Buyer without charge and shall provide copies of documents to Buyer without
charge. If the results of such due diligence review or meetings are not entirely satisfactory or acceptable to Buyer for any reason
whatsoever, as determined by Buyer in Buyer’s reasonable discretion, then, notwithstanding any other term or provision of
this Agreement, Buyer will have no duty or obligation of any kind or nature whatsoever to proceed with or to consummate any of
the transactions contemplated by this Agreement, including the Merger, or to negotiate revised terms, provisions or conditions
for any of the transactions contemplated by this Agreement, including the Merger, and Buyer may terminate this Agreement without
payment of any damages or penalty.


 


(b)         Buyer covenants and agrees to all of the terms and provisions set forth in this Section 5.2(b). Between the date
of this Agreement and the Effective Time, in addition to Seller’s rights provided by Section 5.1(b), Seller, acting
through Seller’s own personnel, legal counsel, accountants and other representatives and agents, shall have the full right
to (a) examine the offices, properties, equipment, invoices, customer records, agreement books and records of Buyer, (b) meet and
discuss Buyer and the operations, history and prospects of Buyer with representatives and employees of Buyer and (c) otherwise
perform such due diligence review of Buyer as Seller in its sole and absolute discretion deems necessary or appropriate, including
a due diligence review of the Contracts, assets, rights, liabilities and Intellectual Property of Buyer. Seller’s representatives
and agents, with the assistance of Buyer’s personnel, will prepare an inventory of all assets and other Intellectual Property
of Buyer. Buyer shall promptly provide to Seller copies of all documents related to Buyer that Seller reasonably requests. Seller
and Seller’s representatives and agents shall be permitted to meet with representatives and employees of Buyer individually
and as a group. The due diligence review by Seller will be at Seller’s sole expense, except that Buyer shall make Buyer’s
employees, representatives, officers and accountants available to Seller without charge and shall provide copies of documents to
Seller without charge. If the results of such due diligence review or meetings are not entirely satisfactory or acceptable to Seller
for any reason whatsoever, as determined by Seller in Seller’s reasonable discretion, then, notwithstanding any other term
or provision of this Agreement, Seller will have no duty or obligation of any kind or nature whatsoever to proceed with or to consummate
any of the transactions contemplated by this Agreement, including the Merger, or to negotiate revised terms, provisions or conditions
for any of the transactions contemplated by this Agreement, including the Merger, and Seller may terminate this Agreement without
payment of any damages or penalty.


 






    	24



    	 



    

 


5.3.         Preserve Accuracy of Representations and Warranties. Each of the parties hereto shall maintain the truth and accuracy
of the representations and warranties made by such party in this Agreement. Each of the parties hereto shall refrain, and shall
cause each Person and Subsidiary controlled by such party to refrain, from any act or omission that would or could render any representation
or warranty made by such party not true and accurate at the Closing Date.


 


5.4.         Permits and Approvals. Seller and Buyer will cooperate with each other and use their commercially reasonable best
efforts to obtain (and will immediately prepare all registrations, filings and applications, requests and notices preliminary to)
all Approvals and Permits that may be necessary or that may be reasonably requested by the other party to consummate the transactions
contemplated by this Agreement, including under the Securities Act, the Exchange Act and the state Blue Sky Laws.


 


5.5.         Buyer SEC
Documents. Buyer covenants that it shall use its best efforts to prepare and file with the SEC all reports, statements and
other information required by the Securities Exchange Act of 1934 and the rules and regulations promulgated thereunder. Buyer shall,
prior to any filing or submission, provide Seller with copies of any proposed filing. Buyer shall prepare financial statements
for all periods ending prior to the Closing Date and shall cause such financial statements to be audited by its independent certified
public accountants. Buyer shall bear all expenses of such financial statement preparation and audit.


 


5.6.         Written Consent of the Stockholders of Buyer. Buyer will, in accordance with applicable Law and the Articles of Incorporation
and Bylaws of Buyer and as soon as reasonably practicable after the date of this Agreement, obtain the requisite vote of the Stockholders
of Buyer by written consent of the Stockholders of Buyer to approve and adopt the Buyer Articles Amendment, this Agreement and
the transactions contemplated hereby, including the Merger. The Buyer Articles Amendment shall specify Buyer’s new name after
the Effective Time.


 


5.7.         Buyer Reverse Stock Split. Subject to the approval of the Stockholders of Buyer as required by the Nevada Law, Buyer
will execute and file with the Nevada Secretary of State the Buyer Articles of Amendment, if so required, and take all other actions
to effect a reverse stock split, whereby a pre-determined number of outstanding shares (to be determined by Buyer in its discretion),
shall be split into one (1) share of Buyer Common Stock (the “Reverse Stock Split”) in compliance with the Nevada
Law, effective prior to the Effective Time. The Parties currently contemplate that the ratio for the Reverse Stock Split shall
be approximately forty-to-one. In compliance with Nevada Law, no fractional shares will be issued and each Buyer Stockholder who
would otherwise be entitled to fractional shares shall be entitled to receive the next higher whole number of shares of Buyer Common
Stock. The Parties hereto agree that, after giving effect to (i) the Reverse Stock Split prior to the Effective Time, and (ii)
the issuance of Buyer Common Stock to the Seller immediately after the Effective Time pursuant to the exchange described in Section
1.2(a), there shall be approximately 750,000,000 shares of Buyer Common Stock issued and outstanding.


 






    	25



    	 



    

 


5.8.         Blue Sky Laws. Buyer will take such steps as may be necessary to comply with the securities and Blue Sky Laws of
all jurisdictions that are applicable to the issuance of shares of Buyer Common Stock in connection with the Merger. Seller will
use its commercially reasonable best efforts to assist Buyer as may be necessary to comply with the securities and Blue Sky Laws
of all jurisdictions that are applicable in connection with the issuance of shares of Buyer Common Stock in connection with the
Merger.


 


5.9.         Written Consent
of the Stockholders of Seller. Seller will, in accordance with applicable Law and the organizational documents of Seller and
as soon as reasonably practicable after the date of this Agreement, obtain the requisite vote of the Stockholders of Seller by
written consent of the Stockholders of Seller to approve and adopt this Agreement and the transactions contemplated hereby, including
the Merger.


 


5.10.         Conditions. Seller will use its commercially reasonable best efforts to take all actions reasonably necessary or
appropriate to cause each condition set forth in Section 6.2 to be fulfilled on or before the Closing, and Buyer will
use its commercially reasonable best efforts to take all actions reasonably necessary or appropriate to cause each condition set
forth in Section 6.3 to be fulfilled on or before the Closing.


 


5.11.         Reorganization. Seller and Buyer will each use its best efforts to cause the business combination to be effected
by the Merger to be qualified as a “reorganization” described in Section 368(a) of the Code.


 


5.12.         Audited Financial Statements. The Seller covenants and agrees with the Buyer to, as soon as reasonably practicable
after the date hereof (targeting within thirty (30) days of the date hereof), deliver to the Buyer those audited and unaudited
financial statements of the Seller as are required by applicable SEC regulations in order to permit Buyer to make the SEC filings
required in respect of the Merger and transactions contemplated hereby in accordance with this Agreement, including, but not limited
to, audited financial statements for the two most recently completed fiscal years of Seller, prepared in accordance with United
States Generally Accepted Accounting Procedures (“US GAAP”) and audited in accordance with PCAOB audit standards, and
unaudited interim financial statements for the most recently completed stub period, prepared in accordance with US GAAP.


 


5.13.         Audited Combined Financial Statements. Buyer and Seller shall cause the independent auditors for Seller to prepare
as soon as reasonably practicable after the date hereof audited combined financial statements for the combined operations of Buyer
and Seller as may be required to be filed with the SEC in accordance with applicable SEC rules, including Schedule 14C and Form
8-K.


 


ARTICLE VI

CONDITIONS TO CLOSING


 


6.1.         General Conditions. The obligations of the parties to consummate the Merger are subject to the satisfaction of the
following conditions:


 


(a)         Stockholder Approvals. This Agreement, including the Merger must have been approved and adopted by the affirmative
unanimous vote of the holders of the then-outstanding shares of Fetopolis Acquisition Corporation, Inc. Common Stock and by the
affirmative vote of the holders of not less than a majority of then-outstanding voting capital stock shares of Seller Common Stock
in accordance with the respective Articles of Incorporation and Bylaws of Buyer and Seller and the Nevada Law.


 






    	26



    	 



    

 


(b)          Governmental Approvals. The parties shall have obtained timely from each Governmental Entity all Permits and
Approvals (if any) necessary for the consummation of, or in connection with, the Merger and the several transactions contemplated
hereby, including such approvals, waivers and consents as may be required under the Securities Act and state Blue Sky Laws.


 


(c)         No Restraining Action. No Action will have been instituted or threatened against Buyer or Seller before any Governmental
Entity seeking to restrain or prohibit the consummation of the transactions contemplated hereby.


 


(d)         Audited Surviving Corporation Financial Statements. Buyer and Seller shall have caused the independent auditors for
Seller to prepare audited combined financial statements for the combined operations of Buyer and Seller as may be required to be
filed with the SEC in accordance with applicable SEC rules, including Schedule 14C and Form 8-K.


 


(e)         Merger. The Articles of Merger shall have been filed with the Nevada Secretary of State.


 


6.2.         Conditions to Obligations of Buyer. Unless waived, in whole or part, in writing by Buyer, Buyer’s obligations
hereunder are subject, before or at the Closing, to the satisfaction of each of the following conditions:


 


(a)         Due Diligence. The results of Buyer’s due diligence review or meetings pursuant to Section 5.2 must
have been entirely satisfactory and acceptable to Buyer, as determined by Buyer in Buyer’s reasonable discretion.


 


(b)         Representations and Warranties. The representations and warranties of Seller contained in ARTICLE II will
be true in all material respects at the Closing Date with the same effect as though made at such time. Seller will have performed
all obligations and complied with all covenants and conditions required by this Agreement to be performed or complied with by Seller
at or before the Closing Date, and Seller will have delivered to Buyer a certificate of Seller in form and substance satisfactory
to Buyer, dated the Closing Date and signed by Seller’s Chief Executive Officer and Chief Financial Officer, to such effect.


 


(c)         No Seller Material Adverse Effect. There will not have been any Seller Material Adverse Effect since the Seller Interim
Balance Sheet Date.


 


(d)         Corporate Proceedings. True and complete copies of all corporate proceedings and documents effecting the authorization
and approval of the Transaction Documents and the transactions contemplated thereunder, certified by the Chief Executive Officer
of Seller, will have been furnished to Buyer.


 


(e)         Transaction Documents. Seller will have executed and delivered the Transaction Documents to which it is a party other
than this Agreement.


 






    	27



    	 



    

 


(f)         Approvals and Permits. Buyer must have obtained all Approvals and Permits necessary to consummate the transactions
contemplated hereby (if any).


 


(g)         Seller Financial Statements. Seller shall have delivered to Buyer the Seller Financial Statements and shall have
prepared and delivered to Buyer or Buyer’s independent auditors all financial information specified in Section 5.12.


 


6.3.         Conditions to Obligations of Seller. Unless waived, in whole or part, in writing by Seller, Seller’s obligations
hereunder are subject, before or at the Closing, to the satisfaction of each of the following conditions:


 


(a)         Due Diligence. The results of Seller’s due diligence review or meetings must be satisfactory and acceptable
to Seller, as determined by Seller in Seller’s reasonable discretion.


 


(b)         Representations and Warranties. The representations and warranties of Buyer contained in ARTICLE III will
be true in all material respects at the Closing Date with the same effect as though made at such time. Buyer will have performed
all obligations and complied with all covenants and conditions required by this Agreement to be performed or complied with by Buyer
at or before the Closing Date, and Buyer will have delivered to Seller a certificate of Buyer in form and substance satisfactory
to Seller, dated the Closing Date and signed by Buyer’s Chief Executive Officer and Chief Financial Officer, to such effect.


 


(c)         No Buyer Material Adverse Effect. There will not have been any Buyer Material Adverse Effect since the Buyer Interim
Balance Sheet Date.


 


(d)         Corporate Proceedings. True and complete copies of all corporate proceedings and documents effecting the authorization
and approval of the Transaction Documents and the transactions contemplated thereunder by Buyer, certified by the Chief Executive
Officer and the Secretary of Buyer, shall have been furnished to Seller.


 


(e)         Transaction Documents. Buyer must have executed and delivered the Transaction Documents to which Buyer is a party
other than this Agreement.


 


(f)         Approvals and Permits. Seller must have obtained all Approvals and Permits necessary to consummate the transactions
contemplated hereby (if any).


 


(g)         Management; New Corporate Name. Buyer shall have taken all necessary corporate action such that immediately following
the Closing: (i) the sole director of Buyer shall be Raaj Kapur Brar and Buyer shall have taken no further action to amend its
Bylaw provisions relating to the size and membership of its Board of Directors, (ii) the executive officer(s) of Buyer shall be
Raaj Kapur Brar and such other individuals as he shall appoint, and (iii) a new corporate name for Buyer shall have been implemented
in the discretion of Mr. Brar.


 


(h)         Buyer Financial Statements. Buyer shall have delivered to Seller the Buyer Financial Statements and shall have prepared
and delivered to Seller or Seller’s independent auditors all financial statements and information necessary for inclusion
in the audited combined financial statements, referenced in Sections 5.13 and 6.1(d), for the combined operations
of Buyer and Seller as may be required to be filed with the SEC as an Exhibit to Form 8-K not later than four (4) days following
the Closing Date.


 






    	28



    	 



    

 


ARTICLE VII


TERMINATION OF OBLIGATIONS


 


7.1.         Termination of Agreement. This Agreement and the transactions contemplated by this Agreement will terminate if the Closing
does not occur on or before the close of business on March 1, 2015, unless extended pursuant to Section 1.1(c), in which
case this Agreement and the transactions contemplated by this Agreement will terminate if the Closing does not occur on or before
the Closing Date as extended pursuant to Section 1.1(c) and otherwise may be terminated at any time before the Closing as
follows and in no other manner:


 


(a)         Mutual Consent. By the mutual consent in writing of Buyer and Seller.


 


(b)         Conditions to Buyer’s Performance Not Satisfied. By Buyer by written notice to Seller if any event occurs or
condition exists that would render impossible the satisfaction of one or more conditions to the obligations of Buyer to consummate
the transactions contemplated by this Agreement as set forth in Section 6.1 or Section 6.2.


 


(c)         Conditions to Seller’s Performance Not Satisfied. By Seller by written notice to Buyer if any event occurs
or condition exists that would render impossible the satisfaction of one or more conditions to the obligations of Seller to consummate
the transactions contemplated by this Agreement as set forth in Section 6.1 or Section 6.3.


 


7.2.         Effect of Termination. If this Agreement is terminated pursuant to Section 7.1, then all further obligations
of the parties under this Agreement will terminate without further liability of any party to another party; provided, however,
that each party shall remain liable for all breaches of or inaccuracies in such party’s covenants, agreements, representations
and warranties hereunder that occurred before the termination of this Agreement. This Section 7.2 and the obligations of
the parties contained in Sections 9.3 (Confidentiality), 9.4 (Expenses), 9.15 (Governing Law) will survive
any termination of this Agreement and remain in full force and effect. A termination under Section 7.1 will not relieve
any party of any liability for a breach of, or for any misrepresentation under, this Agreement, or be deemed to constitute a waiver
of any available remedy (including specific performance if available) for any such breach or misrepresentation.


 


ARTICLE VIII

INDEMNIFICATION


 


8.1.         Obligations of the Surviving Corporation. The Surviving Corporation will indemnify and hold harmless the Buyer Principal
Stockholders from and against Losses of the Stockholders of Buyer, directly or indirectly, as a result of, or based on or arising
from (a) any material inaccuracy in or material breach or material nonperformance of any of the representations, warranties,
covenants or agreements made by Seller in or pursuant to this Agreement or (b) any third party claim or demand regarding the
conduct of the Seller Business before the Closing, whether asserted before or after the Closing. Any payment made by the Surviving
Corporation to the Stockholders of Buyer in respect of Losses incurred by the Stockholders of Buyer pursuant to this Section 8.1
will be paid in shares of Common Stock of the Surviving Corporation. For purposes of determining the number of shares of Common
Stock of the Surviving Corporation to be delivered by the Surviving Corporation to the Stockholders of Buyer pursuant to this Section
8.1, the value of shares of Common Stock of the Surviving Corporation will be determined as provided in Section 8.3.


 






    	29



    	 



    

 


8.2.         Obligations
of Buyer Principal Stockholders. At the Closing, the Buyer Principal Stockholders shall deliver the Indemnification Agreement
in the form attached hereto as Exhibit B.


 


8.3.         Valuation of Shares of Common Stock of the Surviving Corporation. Whenever the provisions of this Article VIII, Section
8.1 or Section 8.2 require that an indemnification payment must be made in shares of Common Stock of the Surviving Corporation,
then the shares of Common Stock of the Surviving Corporation shall be valued as follows: (a) if shares of Common Stock of the Surviving
Corporation are then traded on a national securities exchange or the NASDAQ Global Market (or a similar national or global quotation
system), then the value of shares of Common Stock of the Surviving Corporation shall be deemed to be the average of the daily closing
prices of such shares of Common Stock of the Surviving Corporation on such exchange or system over the thirty (30) day period ending
three (3) days before the day on which such indemnification payment is required to be made; and (b) if shares of Common Stock of
the Surviving Corporation are then actively traded over-the-counter, then the value of shares of Common Stock of the Surviving
Corporation shall be deemed to be the average of the daily closing bid or sale prices (whichever is applicable) over the thirty
(30) day period ending three (3) days before the day on which such indemnification payment is required to be made; and (c) if there
is no active public market for shares of Common Stock of the Surviving Corporation, then the value of shares of Common Stock of
the Surviving Corporation shall be deemed to be the average of the daily closing bid or sale price over the ten (10) first days
of trading after the Effective Time.


 


8.4.         Procedure.


 


(a)         Any party seeking indemnification with respect to any Loss will give notice to the party required to provide indemnity hereunder
on or before the last day of the applicable survival period specified in Section 9.1.


 


(b)         If any claim, demand or liability is asserted by any third party against any Indemnified Party, then the Indemnifying Party
will, upon the written request of the Indemnified Party, defend any Action brought against the Indemnified Party with respect to
matters embraced by the indemnity with legal counsel satisfactory to the Indemnified Party, but the Indemnified Party will have
the right to conduct and control the defense, compromise or settlement of any Indemnifiable Claim if the Indemnified Party chooses
to do so, on behalf of and for the account and risk of the Indemnifying Party who will be bound by the result so obtained to the
extent provided herein; provided, however, that no Indemnifiable Claim will be settled by an Indemnified Party unless the
Indemnifying Party consents thereto, which consent will not be unreasonably withheld or delayed. If, after a request to defend
any Action, the Indemnifying Party neglects to defend the Indemnified Party, then a recovery against the latter suffered by it
in good faith is conclusive in its favor against the Indemnifying Party; provided, however, that, if the Indemnifying Party
has not received reasonable notice of the Action against the Indemnified Party or is not allowed to control its defense, then judgment
against the Indemnified Party is only presumptive evidence against the Indemnifying Party. Each party hereto, to the extent that
it is or becomes an Indemnifying Party, hereby stipulates that a judgment against the Indemnified Party will be conclusive upon
the Indemnifying Party. The parties will cooperate in the defense of all third party claims that may give rise to Indemnifiable
Claims hereunder. In connection with the defense of any claim, each party will make available to the party controlling such defense
all books, records or other documents within its control that are reasonably requested in the course of such defense.


 






    	30



    	 



    

 


ARTICLE IX

MISCELLANEOUS


 


9.1.         Survival of Representations, Warranties, Covenants and Agreements. The representations and warranties of the parties
set forth in this Agreement will survive the Closing until midnight PST of the day immediately preceding the first anniversary
of the Closing Date. The covenants and agreements of the parties set forth in this Agreement shall survive after the Closing and
the Effective Time until fully performed.


 


9.2.         Public Announcements. Buyer and Seller will consult with each other before issuing any press release or making any
public statement with respect to this Agreement or the transactions contemplated hereby and will mutually agree on the substance
of any such press release or public statement.


 


9.3.         Confidentiality. All information disclosed by any party (or its representatives), whether before or after the date
hereof, in connection with the transactions contemplated by, or the discussions and negotiations preceding, this Agreement to any
other party (or its representatives) will be kept confidential by such other party and its representatives and will not be used
by any such Person other than as contemplated by this Agreement, except to the extent that such information (a) was known
by the recipient when received, (b) is or hereafter becomes lawfully obtainable from other sources, (c) is necessary
or appropriate to disclose to a Governmental Entity having jurisdiction over the parties or as otherwise may be required by Law
or Legal Requirement or (d) to the extent such duty as to confidentiality is waived in writing by the other party. If this
Agreement is terminated, each party will use all reasonable efforts to return upon written request from the other party all documents
(and reproductions thereof) received by such party or its representatives from such other party (and, in the case of reproductions,
all such reproductions made by the receiving party) that include information not within the exceptions contained in the first sentence
of this Section 9.3, unless the recipients provide assurances reasonably satisfactory to the requesting party that
such documents have been destroyed.


 


9.4.         Expenses. Except as otherwise provided herein, each of the parties will bear all expenses incurred by it in connection
with this Agreement and in the consummation of the transactions contemplated hereby and in preparation therefor.


 


9.5.         Notices. All notices (including other communications required or permitted) under this Agreement must be in writing
and must be delivered: (a) in person; (b) by registered, express or certified mail, postage prepaid, return receipt requested;
(c) by a generally recognized courier or messenger service that provides written acknowledgement of receipt by the addressee;
or (d) by facsimile or other generally accepted means of electronic transmission with a verification of delivery. A notice
will be deemed delivered at the earlier of the date such notice is actually received by a party or three (3) days after such notice
is given. Notices must be given at the addresses below, but any party may furnish, from time to time, other addresses for notices
to it.


 






    	31



    	 



    

 


If to Buyer, at:


 





INDIGO-ENERGY, INC.


74 N. Pecos Road, Suite D


Henderson, Nevada 89074


Attn: James Walter Jr.


Telephone: (702) 463-8528


 


with a copy to:


 


Wilson & Oskam, LLP


9110 Irvine Center
Drive


Irvine, CA 92618


Attn: Lance McKinlay, Esq.


Telephone: (949) 596-7995


Fax: (917) 791-8877


 


If
to Seller, at:


 


Fetopolis Inc.


3650 Langstaff Road, Suite 243


Woodbridge, ON L4L 9AB


Attn: Raaj Singh Brar, CEO


Telephone: (905) 553-0190


   



The addresses to which
notices or demands are to be given may be changed from time to time by notice served as provided above. Delivery of notice to the
copied parties above is not notice to Buyer or Seller, as the case may be.


 


9.6.         Further Assurances. Seller will, upon the request of Buyer, from time to time execute and deliver such additional
certificates, agreements and other documents and take such other actions as Buyer reasonably requests to render effective the transactions
contemplated by this Agreement. Buyer will, upon the request of Seller, from time to time execute and deliver such additional certificates,
agreements and other documents and take such other actions as Seller reasonably requests to render effective the transactions contemplated
by this Agreement.


 


9.7.         Sections and Other Headings. Sections or other headings contained in this Agreement are for reference purposes only
and will not affect in any way the meaning or interpretation of this Agreement.


 






    	32



    	 



    

 


9.8.         Integrated Agreement. This Agreement and the Exhibits and Schedules attached hereto constitute the entire agreement
between the parties hereto, and no agreements, understandings, restrictions, warranties or representations exist between the parties
hereto other than those set forth herein or provided for herein.


 


9.9.         Assignment. No party to this Agreement may assign this Agreement without the prior written consent of the other parties
to this Agreement.


 


9.10.         Amendments; Waivers. All parties must approve any amendment to this Agreement. Any waiver of any right or remedy
requires the consent of the party waiving it. Every amendment or waiver must be in writing and designated as an amendment or waiver,
as appropriate. No failure by any party to insist on the strict performance of any provision of this Agreement, or to exercise
any right or remedy, will be deemed a waiver of such performance, right or remedy or of any other provision of this Agreement.


 


9.11.         Interpretation. If any claim is made by a party relating to any conflict, omission or ambiguity in the provisions
of this Agreement, no presumption or burden of proof or persuasion will be implied because this Agreement was prepared by or at
the request of any party or its legal counsel. The parties waive any statute or rule of Law to the contrary. Unless the context
otherwise requires: (a) a term has the meaning assigned to it; (b) “or” is not exclusive; (c) words
in the singular include the plural, and words in the plural include the singular; (d) “herein,” “hereof’
and other words of similar import refer to this Agreement as a whole and not to any particular Section, subsection, paragraph,
clause or other subdivision; (e) all references to “Article,” “Section,” “Exhibit,”
or “Schedule” refer to the particular Article, Section, Exhibit or Schedule in or attached to this Agreement
unless otherwise expressly specified; and (f) “including” and “includes,” when following
any general provision, sentence, clause, statement, term or matter, will be deemed to be followed by “without limitation”
or “but not limited to” and “without limitation” or “but is not limited to,” respectively.


 


9.12.         Counterparts. This Agreement may be executed in counterparts, each of which shall be deemed an original instrument,
but all of which together shall constitute one instrument.


 


9.13.         Exhibits and Schedules. All Exhibits and Schedules attached to this Agreement are incorporated herein.


 


9.14.         Severability. If any provision of this Agreement is held to be unenforceable for any reason, then such provision
will be adjusted rather than voided, if possible, to achieve the intent of the parties to the extent possible. In any event, all
other provisions of this Agreement will be deemed valid and enforceable to the extent possible.


 


9.15.         Governing Law. This Agreement will be governed by and construed in accordance with the internal Law of the State
of Nevada (without reference to its rules as to conflicts of Law).


 


9.16.         Specific Performance. The parties agree that irreparable damage would occur if any provision of this Agreement was
not performed in accordance with the terms hereof and that the parties will be entitled to specific performance of the terms hereof
in addition to any other remedy to which they are entitled at law or equity.


 


[Signature Page
Follows]


 






    	33



    	 



    

 


IN WITNESS WHEREOF,
each of the parties hereto has executed or caused to be executed by its duly authorized officer this Agreement to be effective
as of the date first written above.


 


	 	
        INDIGO-ENERGY, INC.,

        a Nevada corporation

	 	 
	 	
        By: /s/ James C. Walter Sr.

                Name:
James C. Walter Sr.

                Its: Chief Executive Officer

	 	 
	 	 
	 	
        “Acquisition Corp.”

         

        Fetopolis Acquisition Corporation, Inc.

        a Nevada corporation

	 	 
	 	
        By: /s/ James C. Walter Sr.

                Name:
James C. Walter Sr.

                Its: Chief Executive Officer

	
         

         

        
	
	
         

         

         

         
	
        “Buyer Principal Stockholders”

         

        

        New Hope Partners, LLC

        a Nevada limited liability company

         

        By: /s/ James C. Walter Sr.

                Name:
James C. Walter Sr.

                Its: Manager

         

         

	 	
        FETOPOLIS INC.

         

	 	
        By: /s/ Raaj Kapur Brar

                Name:
Raaj Kapur Brar

                Its: Chief Executive Officer



 






    	34



    	 



    

 


EXHIBIT A


 


DEFINITIONS


 


“Action”
means any action, complaint, petition, investigation, suit or other proceeding, whether civil or criminal, in law or in equity,
or before any arbitrator or Governmental Entity.


 


“Affiliate”
means a Person that directly, or indirectly through one or more intermediaries, controls, is controlled by or is under common control
with a specified Person.


 


“Agreement”
means this Agreement by and among Buyer and Seller, as it may be amended, supplemented or modified from time to time.


 


“Approval”
means any approval, authorization, consent, qualification or registration, or any waiver of any of the foregoing, required to be
obtained from, or any notice, statement or other communication required to be filed with or delivered to, any Governmental Entity
or any other Person.


 


“Articles
of Merger” has the meaning set forth in Section 1.1(c).


 


“Associate”
of a Person means:


 


(i)          a corporation
or organization (other than a party to this Agreement) of which such Person is an officer or partner or, directly or indirectly,
beneficially owns ten percent (10%) or more of any class of equity securities;


 


(ii)         any trust or
other estate in which such Person has a substantial beneficial interest or as to which such Person serves as trustee or in a similar
capacity; and


 


(iii)        any relative
or spouse of such Person or any relative of such spouse who has the same home as such Person.


 


“Buyer”
has the meaning set forth in the introduction to this Agreement.


 


“Buyer Audited
Financial Statements” has the meaning set forth in Section 3.3.


 


“Buyer Articles
Amendment” means the amendment filed with the Nevada Secretary of State to reflect the new name of Buyer, the final capital
structure agreed upon by Buyer and Seller as is necessary to accommodate the Merger and the Reverse Stock Split.


 


“Buyer Financial
Statements” has the meaning set forth in Section 3.3.


 


“Buyer Closing
Date Balance Sheet” has the meaning set forth in Section 3.3.


 


“Buyer Competing
Transaction” means (i) any merger, consolidation, share exchange, business combination or other similar transaction
involving Buyer, (ii) any sale, lease, exchange, mortgage, pledge, transfer or other disposition of fifty percent (50%) or
more of the assets of Buyer, taken as a whole, in a single transaction or a series of transactions, other than in the Ordinary
Course of Business, (iii) any Person having acquired beneficial ownership or the right to acquire beneficial ownership of
or any “group” (as defined in Section 13(d) of the Exchange Act) having been formed that beneficially owns or
has the right to acquire beneficial ownership of ten percent (10%) or more of the Buyer Common Stock or (iv) any public announcement
of a proposal, plan or intent to do any of the foregoing or any agreement to engage in any of the foregoing other than any transaction
contemplated by this Agreement.


 






    	35



    	 



    

 


“Buyer Common
Stock” has the meaning set forth in Recital B.


 


“Buyer Contract”
means any Contract (a) under which Buyer has or may acquire any right, (b) under which Buyer has or may become subject to any obligation
or liability or (c) by which Buyer or any of the assets owned or used by Buyer is or may become bound.


 


“Buyer Disclosure
Schedule” means the disclosure schedule dated, and delivered by Buyer to Seller on, the date of this Agreement. The Sections
of the Buyer Disclosure Schedule will be numbered to correspond to the applicable Section of this Agreement and, together with
all matters under such heading, will be deemed to qualify only that Section unless it is manifestly evident from such disclosure
that it qualifies another Section, in which case it will be deemed to qualify such other Section.


 


“Buyer Interim
Balance Sheet” has the meaning set forth in Section 3.3.


 


“Buyer Interim
Balance Sheet Date” has the meaning set forth in Section 3.3.


 


“Buyer Material
Contract” means any Contract that would be required to be filed as a material agreement with the SEC under applicable
rules of the Exchange Act.


 


“Buyer Material
Adverse Effect” means any event, change, violation, inaccuracy, circumstance or effect (regardless of whether or not
such events, changes, violations, inaccuracies, circumstances or effects are inconsistent with the representations or warranties
made by Buyer in this Agreement) that is, or could reasonably be expected to be, individually or in the aggregate, materially adverse
to the business, operations, condition (financial or otherwise), assets (tangible or intangible), liabilities, employees, properties,
prospects, capitalization or results of operations of Buyer.


 


“Buyer Principal
Stockholder” and “Buyer Principal Stockholders” have the meanings set forth in the introduction to
this Agreement.


 


“Buyer SEC
Documents” means all required reports, schedules, forms, statements and other documents filed by Buyer with the SEC.


 


“Certificates”
has the meaning set forth in Section 1.3(c).


 


“Closing”
has the meaning set forth in Section 1.1(c).


 


“Closing Date”
has the meaning set forth in Section 1.1(c).


 


“Code”
means the Internal Revenue Code of 1986, as amended.


 






    	36



    	 



    

 


“Contract”
means any agreement, contract, obligation, promise, undertaking, arrangement, bond, commitment, franchise, indemnity, indenture,
instrument, lease, license or understanding, whether written or oral and whether express or implied.


 


“Effective
Time” has the meaning set forth in Section 1.1(c).


 


“Encumbrance”
means any claim, charge, community property interest, condition, equitable interest, easement, encumbrance, lease, covenant, security
interest, lien, option, pledge, right of first refusal, rights of others or restriction or any kind, including any restriction
on use, voting, transfer, receipt of income or exercise of any other attribute of ownership (whether on voting, sale, transfer,
disposition or otherwise), whether imposed by agreement, understanding, Law, Legal Requirement, equity or otherwise, except for
any restriction on transfer generally arising under any applicable federal or state securities law.


 


“Exchange
Act” means the Securities Exchange Act of 1934, as amended.


 


“Exchange
Agent” has the meaning set forth in Section 1.3(a).


 


“GAAP”
means generally accepted accounting principles in the United States, as in effect from time to time.


 


“Governmental
Authorization” means any approval, consent, license, permit, waiver or other authorization issued, granted, given or
otherwise made available by or under the authority of any Governmental Entity or pursuant to any Law or Legal Requirement.


 


“Governmental
Entity” means any government or any agency, bureau, board, commission, court, department, official, political subdivision,
tribunal or other instrumentality of any government, whether federal, state or local, domestic or foreign.


 


“Indemnifiable
Claim” means any Loss for or against which any party is entitled to indemnification under this Agreement.


 


“Indemnified
Party” means the party entitled to indemnity under this Agreement.


 


“Indemnifying
Party” means the party obligated to provide indemnification under this Agreement.


 


“Intellectual
Property” means any trade secret, secret process or other confidential or proprietary information or know-how, patent,
patent application or any brand name, copyright, trademark, trademark application, service mark, service mark application, trade
name, trade dress, URL, moral right, mask work, invention, composition of matter, formula, design or process and all registrations
or applications for registration of any of the foregoing.


 


“IRS”
means the United States Internal Revenue Service or any successor agency and, to the extent relevant, the United States Department
of the Treasury.


 


“Knowledge”
with respect to Seller means the actual knowledge of Raaj Kapur Brar after conducting a reasonably comprehensive investigation
of the subject matter thereof; “Knowledge” with respect to Buyer means the actual knowledge of the directors
and executive officers of Buyer after conducting a reasonably comprehensive investigation of the subject matter thereof.


 






    	37



    	 



    

 


“Law”
means any constitutional provision, statute or other law, rule, regulation or interpretation of any Governmental Entity and any
Order.


 


“Legal Requirement”
means any federal, state, local, municipal, foreign, international, multinational or other administrative order, constitution,
law, ordinance, principle of common law, regulation, statute or treaty.


 


“Loss”
means any action, cost, damage, disbursement, expense, liability, loss, deficiency, diminution in value, obligation, penalty or
settlement of any kind or nature, whether foreseeable or unforeseeable, including interest or other carrying costs, penalties,
legal, accounting and other professional fees and expenses incurred in the investigation, collection, prosecution and defense of
claims and amounts paid in settlement, that may be imposed on or otherwise incurred or suffered by the specified Person.


 


“Merger”
has the meaning set forth in Recital A.


 


“Nevada Law”
has the meaning set forth in Section 1.1(b).


 


“Order”
means any award, decision, decree, injunction, judgment, order, ruling, subpoena, assessment, writ or verdict.


 


“Ordinary
Course of Business”: An action taken by any Person will be deemed to have been taken in the “Ordinary Course
of Business” only if: (a) such action is consistent with the past practices of such Person and is taken in the ordinary
course of the normal day-to-day operations of such Person; (b) such action is not required to be authorized by the board of
directors of such Person (or by any Person or group of Persons exercising similar authority) and is not required to be specifically
authorized by the parent company (if any) of such Person; and (c) such action is similar in nature and magnitude to actions customarily
taken, without any authorization by the board of directors (or by any Person or group of Persons exercising similar authority),
in the ordinary course of the normal day-to-day operations of other Persons that are in the same line of business as such Person.


 


“Organizational
Documents” means (a) the articles or certificate of incorporation and the bylaws of a corporation (or its jurisdictional
equivalent); (b) the articles or certificate of formation or organization (or substantially similar document) and the operating
agreement (or substantially similar document) of a limited liability company; (c) the partnership agreement and any statement of
partnership of a general partnership; (d) the limited partnership agreement and the certificate of limited partnership of a limited
partnership; (e) any charter or similar document adopted or filed in connection with the creation, formation or organization of
a Person; and (f) any amendment to any of the foregoing.


 


“Permit”
means any license, permit, franchise, certificate of authority or order, or any waiver of the foregoing, required to be issued
by any Governmental Entity.


 






    	38



    	 



    

 


“Person”
means any individual, corporation (including any non-profit corporation), general or limited partnership, limited liability company,
joint venture, estate, trust, association, organization, labor union or any other entity, including a Governmental Entity.


 


“SEC”
means the United States Securities and Exchange Commission.


 


“Securities
Act” means the Securities Act of 1933, as amended, or any successor law, and regulations and rules issued pursuant to
that Act or any successor law.


 


“Seller”
has the meaning set forth in the introduction to this Agreement.


 


“Seller Assets”
has the meaning set forth in Section 2.7.


 


“Seller Financial
Statements” has the meaning set forth in Section 2.3.


 


“Seller Business”
means the business of Seller and of the Seller Subsidiaries, if any, and will be deemed to include any of the following incidents
of such business: income, cash flow, operations, condition (financial or other), assets, properties, anticipated revenues/income
and liabilities.


 


“Seller Closing
Date Balance Sheet” has the meaning set forth in Section 2.3.


 


“Seller Common
Stock” has the meaning set forth in Recital B.


 


“Seller Competing
Transaction” means (i) any merger, consolidation, share exchange, business combination or other similar transaction
involving Seller, (ii) any sale, lease, exchange, mortgage, pledge, transfer or other disposition of fifty percent (50%) or
more of the assets of Seller, taken as a whole, in a single transaction or a series of transactions, other than in the Ordinary
Course of Business, (iii) any Person having acquired beneficial ownership or the right to acquire beneficial ownership of
or any “group” (as defined in Section 13(d) of the Exchange Act) having been formed that beneficially owns or
has the right to acquire beneficial ownership of ten percent (10%) or more of any class of Seller equity or (iv) any public
announcement of a proposal, plan or intent to do any of the foregoing or any agreement to engage in any of the foregoing other
than any transaction contemplated by this Agreement.


 


“Seller Contract”
means any Contract (a) under which Seller has or may acquire any right, (b) under which Seller has or may become subject to any
obligation or liability or (c) by which Seller or any of the assets owned or used by Seller is or may become bound.


 


“Seller Disclosure
Schedule” means the disclosure schedule dated, and delivered by Seller to Buyer on, the date of this Agreement. The Sections
of the Seller Disclosure Schedule will be numbered to correspond to the applicable Section of this Agreement and, together
with all matters under such heading, will be deemed to qualify only that Section unless it is manifestly evident from such
disclosure that it qualifies another Section, in which case it will be deemed to qualify such other Section.


 


“Seller Dissenting
Shares” has the meaning set forth in Section 1.2(a).


 


“Seller Dissenting
Stockholder” has the meaning set forth in Section 1.2(d).


 






    	39



    	 



    

 


“Seller Financial
Statements” has the meaning set forth in Section 2.3.


 


“Seller Interim
Balance Sheet” has the meaning set forth in Section 2.3.


 


“Seller Interim
Balance Sheet Date” has the meaning set forth in Section 2.3.


 


“Seller Material
Adverse Effect” means any event, change, violation, inaccuracy, circumstance or effect (regardless of whether or not
such events, changes, violations, inaccuracies, circumstances or effects are inconsistent with the representations or warranties
made by Seller in this Agreement) that is, or could reasonably be expected to be, individually or in the aggregate, materially
adverse to the business, operations, condition (financial or otherwise), assets (tangible or intangible), liabilities, employees,
properties, prospects, capitalization or results of operations of Seller and the Seller Subsidiaries, if any, taken as a whole.


 


“Seller Material
Contract” means any and all of the following: (a) each Seller Contract that involves performance of services or delivery
of goods or materials by Seller of an amount or value in excess of ten thousand dollars ($10,000); (b) each Seller Contract that
involves performance of services or delivery of goods or materials to Seller of an amount or value in excess of ten thousand dollars
($10,000); (c) each Seller Contract that was not entered into in the Ordinary Course of Business and that involves expenditures
or receipts by Seller in excess of ten thousand dollars ($10,000); (d) each lease, rental or occupancy agreement, license, installment
and conditional sale agreement and other Seller Contract affecting the ownership of, leasing of, title to, use of or any leasehold
or other interest in any real or personal property (except personal property leases and installment and conditional sales agreements
having a value per item or aggregate payments of less than ten thousand dollars ($10,000) and with terms of less than one year)
of Seller ; (e) each licensing agreement or other Seller Contract with respect to patents, trademarks, copyrights or other intellectual
property, including agreements with current or former employees, consultants or contractors regarding the appropriation or the
nondisclosure of any of Intellectual Property of Seller ; (f) each joint venture, partnership and other Seller Contract (however
named) involving a sharing of profits, losses, costs or liabilities by Seller with any other Person; (g) each Seller Contract containing
covenants that in any way purport to restrict the business activity of Seller or any Affiliate of Seller or limit the freedom of
Seller or any Affiliate of Seller to engage in any line of business or to compete with any Person; (h) each Seller Contract providing
for payments to or by any Person based on sales, purchases or profits, other than direct payments for goods; (i) each power of
attorney on behalf of Seller that is currently effective and outstanding; (j) each Seller Contract entered into other than in the
Ordinary Course of Business that contains or provides for an express undertaking by Seller to be responsible for consequential
damages; (k) each Seller Contract for capital expenditures by Seller in excess of ten thousand dollars ($10,000); (l) each written
warranty, guaranty or other similar undertaking with respect to contractual performance extended by Seller other than in the Ordinary
Course of Business; and (m) each amendment, supplement and modification (whether oral or written) in respect of any of the foregoing.


 


“Seller Stock
Incentive Plan” has the meaning set forth in Section 2.2(a).


 


“Stockholder
Certificate” has the meaning set forth in Section 6.2(g).


 






    	40



    	 



    

 


“Stockholders
of Buyer” means, collectively, the holders of Buyer Common Stock immediately before the Effective Time (each, individually,
a “Stockholder of Buyer”).


 


“Stockholders
of Seller” means, collectively, the holders of Seller Common Stock immediately before the Effective Time (each, individually,
a “Stockholder of Seller”).


 


“Subsidiary”
means, with respect to any Person (the “Owner”), any corporation or other Person of which securities or other
interests having the power to elect a majority of that corporation’s or other Person’s board of directors or similar
governing body, or otherwise having the power to direct the business and policies of that corporation or other Person (other than
securities or other interests having such power only upon the occurrence of a contingency that has not occurred) are held by the
Owner or one or more of the Owner’s Subsidiaries.


 


“Surviving
Corporation” has the meaning set forth in Section 1.1(b).


 


“Tax”
means any foreign, federal, state, county or local income, sales and use, excise, franchise, real and personal property, transfer,
gross receipt, capital gain, capital stock, production, business and occupation, disability, employment, payroll, severance or
withholding tax or charge imposed by any Governmental Entity, all interest and penalties (civil or criminal) related thereto or
to the nonpayment thereof, and any Loss in connection with the determination, settlement or litigation of any Tax liability.


 


“Tax Return”
means a report, return or other information required to be supplied to a Governmental Entity with respect to Taxes, including,
where permitted or required, combined or consolidated returns for any group of entities that includes (as applicable) Seller or
Buyer.


 


“Transaction
Documents” means this Agreement and the Articles of Merger.


 


 


 


 


 


 


 


 


 


 


 


 


 


 






    	41