The accompanying notes are an integral part
of the consolidated financial statements
The accompanying notes are an integral part
of the consolidated financial statements.
The accompanying notes are an integral part
of the consolidated financial statements.
NOTES TO CONDENSED CONSOLIDATE FINANCIAL
STATEMENTS
(In U.S. dollars)
|
1.
|
ORGANIZATION AND BUSINESS
|
Vitaxel Group Limited (formerly Albero, Corp.,
the “Company”), incorporated in Nevada, is engaged in direct selling industry and online shopping platform primarily
through its operating entities in Malaysia.
Vitaxel SDN BHD ("Vitaxel"), was
incorporated in Malaysia on August 10, 2012. The Company is primarily engaged in the direct selling industry utilizing a multi-level
marketing model with an emphasis on travel, entertainment and lifestyle products and services.
Vitaxel Online Mall SDN BHD ("Vionmall"),
was incorporated in Malaysia on September 22, 2015. The Company is primarily in developing online shopping platforms geared to
Vitaxel and its members and the third-party suppliers of products and services.
Vitaxel Singapore PTE. Ltd. (“Vitaxel
Singapore”) was incorporated in Singapore on February 16, 2016.
REVERSE ACQUISITION
On January 18, 2016, the Company completed
and closed a share exchange (the “Share Exchange”) under a Share Exchange Agreement (the “Share Exchange Agreement”)
of the same date among us, Vitaxel SDN BHD, a Malaysian corporation (“Vitaxel”), the shareholders of Vitaxel, Vitaxel
Online Mall SDN BHD, a Malaysian corporation (“Vionmall”) and the shareholders of Vionmall pursuant to which Vitaxel
and Vionmall each became wholly owned subsidiaries of ours. In the Share Exchange, all of the outstanding shares of Vitaxel and
Vionmall were converted into shares of our Common Stock.
In connection with the Share Exchange and pursuant
to the Split-Off Agreement, we transferred our pre-Share Exchange assets and liabilities of our former horse breeding business
to our pre-Share Exchange majority stockholder, in exchange for the surrender by him and cancellation of 3,000,000 shares of our
Common Stock.
As a result of the Share Exchange and Split-Off,
we discontinued our pre-Share Exchange business and acquired the businesses of Vitaxel and Vionmall, and will continue the existing
business operations of Vitaxel and Vionmall as a publicly-traded company under the name Vitaxel Group Limited.
In accordance with “reverse acquisition”
accounting treatment, our historical financial statements as of period ends, and for periods ended, prior to the acquisition will
be replaced with the historical financial statements of Vitaxel and Vionmall prior to the Share Exchange in all future filings
with the SEC.
|
2.
|
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
|
Basis of presentation
The accompanying consolidated financial statements
of the Company have been prepared in accordance with accounting principles generally accepted in the United States of America (“U.S.
GAAP”).
This basis of accounting involves the application
of accrual accounting and consequently, revenues and gains are recognized when earned, and expenses and losses are recognized when
incurred. The Company’s financial statements are expressed in U.S. dollars.
Fiscal year end is December 31.
Use of estimates
The preparation of consolidated financial statements
in conformity with accounting principles generally accepted in the United States of America requires management to make estimates
and assumptions that affect certain reported amounts of assets and liabilities and disclosure of contingent assets and liabilities
at the date of the financial statements and the reported amounts of revenues and expenses during the reporting periods. Actual
results could differ from those estimates.
Foreign currency translation and transactions
The functional currency of the Company is the
Malaysian Ringgit (“MYR”) and reporting currency of the Company is United States Dollar “USD”). The financial
statements of the Company are translated into USD using the exchange rate as of the balance sheet date for assets and liabilities
and average exchange rate for the year for income and expense items. Translation gains and losses are recorded in accumulated other
comprehensive income or loss as a component of shareholders' equity.
Cash and cash equivalents
Cash and cash equivalents consist of cash on
hand and highly liquid investments, which are unrestricted from withdrawal or use, and which have original maturities of three
months or less when purchased.
Accounts receivable
Accounts receivable are recognized and carried
at original invoiced amount less an allowance for any potential uncollectible amounts. An estimate for doubtful debts is made when
collection of the full amount is no longer probable. Bad debts are written off as incurred. The Company generally does not require
collateral from its customers. For the year ended December 31, 2016 and 2015, the Company did not write off any accounts receivable
as bad debts.
Fair value of financial instruments
FASB ASC 820, “Fair Value Measurement,”
specifies a hierarchy of valuation techniques based upon whether the inputs to those valuation techniques reflect assumptions other
market participants would use based upon market data obtained from independent sources (observable inputs). In accordance with
ASC 820, the following summarizes the fair value hierarchy:
Level 1 Inputs – Unadjusted
quoted market prices for identical assets and liabilities in an active market that the Company has the ability to access.
Level 2 Inputs – Inputs other
than the quoted prices in active markets that are observable either directly or indirectly.
Level 3 Inputs – Inputs based
on prices or valuation techniques that are both unobservable and significant to the overall fair value measurements.
ASC 820 requires the use of observable market
data, when available, in making fair value measurements. When inputs used to measure fair value fall within different levels of
the hierarchy, the level within which the fair value measurement is categorized is based on the lowest level input that is significant
to the fair value measurements. Valuation techniques used need to maximize the use of observable inputs and minimize the use of
unobservable inputs. As of December 31, 2016 and 2015, none of the Company’s assets and liabilities was required to be reported
at fair value on a recurring basis. Carrying values of non-derivative financial instruments, including cash, accounts receivables,
payables and accrued liabilities, approximate their fair values due to the short-term nature of these financial instruments. There
were no changes in methods or assumptions during the periods presented.
Inventories
Inventories are stated at lower of cost or
market, with cost determined on a weighted-average method, and not to exceed net realizable value. The Company writes down its
inventory balances for obsolete amounts estimated on an individual basis for the finished goods and the raw material items with
large amounts, and by a category basis for low value raw material items.
Long-term investment
On April 20, 2016, the Company invested 959,800
Thai Baht or $27,539 to Vitaxel Corporation Thailand Co., Ltd., a company registered in Thailand, and hold 47.99% shares of it.
The long-term investment is accounted using in equity method.
Property, plant and equipment, net
Property, plant and equipment are carried at
cost less accumulated depreciation. Depreciation is calculated on a straight-line basis over the following estimated useful lives:
|
Office equipment
|
10 years
|
|
Computer equipment
|
10 years
|
|
Furniture and fixtures
|
10 years
|
|
Electrical & fitting
|
10 years
|
|
Software and website
|
10 years
|
|
Leasehold improvement
|
10 years
|
Revenue recognition
Product sales − The Company generally
recognizes revenue upon delivery and when both the title and risk and rewards pass to the independent members or purchasers of
the products. Product sales are recognized net of product returns, discounts and taxes. A reserve for product returns is accrued
based on historical experience. There was no deferred revenue accrued as of December 31, 2016 and 2015.
Membership fee − The Company recognizes
the membership fee revenue over the term of the membership, which is 12 months. The revenue will not be recognized until the 10
days cooling-off period is expired. For the year ended December 31, 2016 and 2015, all membership fees were waived by the Company
for promotion purpose.
Loyalty program
The Company operates loyalty program which
allows customer to accumulate redemption points when they purchase products from the Company. The redemption points can be used
to purchase a selection of products at discounted price or redeem products.
The Company allocates consideration received
from the sale of goods to the goods sold and the redemption points issued that are expected to be redeemed.
The consideration allocated to the redemptions
points issued is measured at fair value of the redemption points. It is recognized as a liability (deferred revenue) in the statement
of financial position and recognized as revenue when the points are redeemed, have expired or are no longer expected to be redeemed.
The amount of revenue recognized is based on the number of points that have been redeemed, relative to the number expected to redeem.
Commission expense
Commission expense incurred by the Company
is recognized as cost of revenue and as a liability (commission payable in the consolidated balance sheet. Commission expense is
not recoverable once recognized and is expensed as incurred
Income taxes
Current income taxes are provided for in accordance
with the laws of the relevant tax authorities. Deferred income taxes are recognized when temporary differences exist between the
tax bases of assets and liabilities and their reported amounts in the combined financial statements.Net operating loss carry forwards
and credits are applied using enacted statutory tax rates applicable to future years. Deferred tax assets are reduced by a valuation
allowance when, in the opinion of management, it is more-likely-than-not that a portion of or all of the deferred tax assets will
not be realized. The components of the deferred tax assets and liabilities are individually classified as current and non-current
based on their characteristics.
The impact of an uncertain income tax position
on the income tax return is recognized at the largest amount that is more-likely-than-not to be sustained upon audit by the relevant
tax authority. An uncertain income tax position will not be recognized if it has less than a 50% likelihood of being sustained.
Interest and penalties on income taxes are classified as a component of the provisions for income taxes. The Company did not recognize
any income tax due to uncertain tax positions or incur any interest and penalties related to potential underpaid income tax expense
as of December 31, 2016 and 2015.
Forward Stock split
On January 27, 2016, our Board of Directors
declared a 1333-for-1 forward stock split of our outstanding common stock, par value $0.000001 per share in the form of a dividend
(the “Stock Split”) with a record date of February 8, 2016 (the “Record Date”). On February 22, 2016, Financial
Industry Regulatory Authority, Inc. (“FINRA”) notified us of its announcement of the payment date of the Stock Split
as February 23, 2016 (the “Payment Date”). On the Payment Date, as a result of the Stock split, each holder of our
common stock as of the Record Date received 1332 additional shares of our common stock for each one share owned, rounded up to
the nearest whole share. All common stock share amounts referenced in this Annual Report give retroactive effect to the Stock Split.
Comprehensive loss
Comprehensive loss includes net loss and cumulative
foreign currency translation adjustments and is reported in the Combined Statement of Comprehensive Loss.
Loss per share
The loss per share is computed using the weighted
average number of shares outstanding during the fiscal years. For the year ended December 31, 2016 and 2015, there was no dilutive
effect due to net loss.
Recently issued accounting pronouncements
Financial instrument:
In January 2016,
the FASB issued ASU No. 2016-01, “Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial
Assets and Financial Liabilities” (“ASU 2016-01”). The standard addresses certain aspects of recognition, measurement,
presentation, and disclosure of financial instruments. ASU 2016-01 is effective fo fiscal years, and interim periods within those
years, beginning after December 15, 2017, and early adoption is not permitted. Accordingly, the standard is effective for us on
September 1, 2018. We are currently evaluating the impact that the standard will have on our consolidated financial statements.
Leases:
In February 2016, the FASB issued
ASU No. 2016-02, Leases (Topic 842) (“ASU 2016-2”), which provides guidance on lease amendments to the FASB Accounting
Standard Codification. This ASU will be effective for us beginning in May 1, 2019. We are currently in the process of evaluating
the impact of the adoption of ASU 2016-2on our consolidated financial statements.
Statement of Cash Flows:
In August 2016,
the FASB issued ASU 2016-15, Statement of Cash Flows (Topic 230): The amendments in this Update apply to all entities, including
both business entities and not-for-profit entities that are required to present a statement of cash flows under Topic 230. The
amendments in this Update provide guidance on the following eight specific cash flow issues. The amendments are an improvement
to GAAP because they provide guidance for each of the eight issues, thereby reducing the current and potential future diversity
in practice described above. ASU 2016-15 is effective for the Company for fiscal years beginning after December 15, 2017, including
interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. The Company is
still evaluating the effect that this guidance will have on the Company’s consolidated financial statements and related disclosures.
Company believes that there were no other accounting
standards recently issued that had or are expected to have a material impact on our financial position or results of operations.
These consolidated financial statements have
been prepared assuming that the Company will continue as a going concern, which contemplates the realization of assets and the
discharge of liabilities in the normal course of business for the foreseeable future.
For the year ended December 31, 2016, the Company
reported a net loss of $905,505 and working capital deficit of $1,261,265. The Company had an accumulated deficit of $2,639,138
as of December 31, 2016 due to the fact that the Company incurred losses during the year ended December 31, 2016.
The ability to continue as a going concern
is dependent upon the Company generating profitable operations in the future and/or obtaining the necessary financing to meet its
obligations and repay its liabilities arising from normal business operations when they become due. These combined financial statements
do not include any adjustments to the recoverability and classification of recorded asset amounts and classification of liabilities
that might be necessary should the Company be unable to continue as a going concern.
The Company expects to finance operations primarily
through cash flow from revenue and capital contributions from principal shareholders. In the event that we require additional funding
to finance the growth of the Company’s current and expected future operations as well as to achieve our strategic objectives,
our principal shareholders have indicated the intent and ability to provide additional equity financing.
These conditions raise substantial doubt about
the Company’s ability to continue as a going concern. The Company’s continuation as a going concern is dependent on
our ability to meet obligations as they become due and to obtain additional equity or alternative financing required to fund operations
until sufficient sources of recurring revenues can be generated. There can be no assurance that the Company will be successful
in its plans described above or in attracting equity or alternative financing on acceptable terms, or if at all. The financial
statements do not include any adjustments that might result from the outcome of this uncertainty.
|
4.
|
OTHER RECEIVABLES AND OTHER ASSETS
|
Other receivables and other assets consist
of the following:
|
|
As of
December 31,
2016
|
|
|
As of
December 31,
2015
|
|
|
|
|
|
|
|
|
|
|
Deposits (1)
|
|
$
|
19,497
|
|
|
$
|
45,830
|
|
Others (2)
|
|
|
2,481
|
|
|
|
7,494
|
|
|
|
$
|
21,978
|
|
|
$
|
53,324
|
|
|
(1)
|
Deposits represented payments for rental and utilities.
.
|
|
(2)
|
Others mainly consists other miscellaneous payments.
|
On April 20, 2016, the Company invested 959,800 Thai Baht or $27,539
to Vitaxel Corp. (Thailand) Ltd.,
a company registered in
Thailand, and hold 47.99% shares of it. The long-term investment is accounted using the equity method.
Long-term investment consists of the following:
|
|
As of
December 31,
2016
|
|
|
As of
December 31,
2015
|
|
|
|
|
|
|
|
|
|
|
Long-term investment – In an associated company
|
|
$
|
27,539
|
|
|
$
|
-
|
|
Long-term investment – share of loss in investment in an associated comompany
|
|
|
(25,716
|
)
|
|
|
-
|
|
Foreign currency translation adjustment
|
|
|
(1,823
|
)
|
|
|
-
|
|
|
|
$
|
-
|
|
|
$
|
-
|
|
|
6.
|
PROPERTY, PLANT AND EQUIPMENT
|
Property, plant and equipment, net consist
of the following:
|
|
As of
December 31,
2016
|
|
|
As of
December 31,
2015
|
|
|
|
|
|
|
|
|
|
|
Office equipment
|
|
$
|
30,476
|
|
|
$
|
19,160
|
|
Computer equipment
|
|
|
61,516
|
|
|
|
29,945
|
|
Furniture and fittings
|
|
|
7,131
|
|
|
|
12,238
|
|
Electrical & fitting
|
|
|
337
|
|
|
|
-
|
|
Motor vehicle
|
|
|
15,315
|
|
|
|
-
|
|
Software and website
|
|
|
7,544
|
|
|
|
-
|
|
Renovations
|
|
|
98,167
|
|
|
|
50,166
|
|
|
|
|
220,486
|
|
|
|
111,509
|
|
|
|
|
|
|
|
|
|
|
Less: Accumulated depreciation
|
|
|
(25,817
|
)
|
|
|
(6,652
|
)
|
|
|
|
|
|
|
|
|
|
Balance at end of year
|
|
$
|
194,669
|
|
|
$
|
104,857
|
|
Depreciation expenses charged to the statements of operations for
the year ended December 31, 2016 and 2015 were $19,165 and $4,962 respectively.
|
7.
|
ACCRUALS AND OTHER PAYABLES
|
Accruals and other payables consist of the following:
|
|
As of
December 31,
2016
|
|
|
As of
December 31,
2015
|
|
|
|
|
|
|
|
|
|
|
Provisions and accruals
|
|
$
|
21,243
|
|
|
$
|
594,492
|
|
Others
|
|
|
425,244
|
|
|
|
140,651
|
|
Balance at end of year
|
|
$
|
446,487
|
|
|
$
|
735,143
|
|
Provision for income taxes consisted of the
following:
|
|
|
For the year ended
|
|
|
|
|
December
31, 2016
|
|
|
|
December
31, 2015
|
|
|
|
|
|
|
|
|
|
|
Current:
|
|
|
|
|
|
|
|
|
Provision for Malaysian income tax
|
|
$
|
-
|
|
|
$
|
-
|
|
Provision for Singaporean income tax
|
|
|
|
|
|
|
|
|
Provision for U.S. income tax
|
|
|
-
|
|
|
|
-
|
|
Deferred:
|
|
|
|
|
|
|
|
|
Provision for Malaysian income tax
|
|
|
-
|
|
|
|
-
|
|
Provision for Singaporean income tax
|
|
|
-
|
|
|
|
-
|
|
Provision for U.S. income tax
|
|
|
-
|
|
|
|
-
|
|
|
|
$
|
-
|
|
|
$
|
-
|
|
Malaysia
The Company’s two main operating subsidiaries, Vitaxel SDN
BHD and Vitaxel Online Mall SDN BHD are companies incorporated in Malaysia. They recorded a loss before income tax of $680,391
and $725,912 for the year ended December 31, 2016 and 2015 respectively. A reconciliation of the provision for income taxes with
amounts determined by applying the Malaysian income tax rate of 24% and 25% for the years ended December 31, 2016 and 2015, respectively,
to income before income taxes is as follows:
|
|
For the year ended
|
|
|
|
December
31, 2016
|
|
|
December
31, 2015
|
|
|
|
|
|
|
|
|
Profit (loss) before income tax
|
|
$
|
(680,391
|
)
|
|
$
|
(725,912
|
)
|
Permanent difference
|
|
|
680,391
|
|
|
|
725,912
|
|
Taxable income
|
|
$
|
-
|
|
|
$
|
-
|
|
Malaysian income tax rate
|
|
|
24
|
%
|
|
|
25
|
%
|
Current tax expenses
|
|
$
|
-
|
|
|
$
|
-
|
|
Less: Valuation allowance
|
|
|
|
|
|
|
-
|
|
Income tax expenses
|
|
$
|
-
|
|
|
$
|
-
|
|
United States of America
Vitaxel Group Limited is a company incorporated in State of Nevada
and recorded a loss before income tax of $225,114 and nil for the year ended December 31, 2016 and 2015 respectively. A reconciliation
of the provision for income taxes with amounts determined by applying the United States Federal income tax rate of 34% for the
years ended December 31, 2016 and 2015, respectively, to income before income taxes is as follows:
|
|
For the year ended
|
|
|
|
December
31, 2016
|
|
|
December
31, 2015
|
|
|
|
|
|
|
|
|
Profit (loss) before income tax
|
|
$
|
(225,114
|
)
|
|
$
|
-
|
|
Permanent difference
|
|
|
225,114
|
|
|
|
-
|
|
Taxable income
|
|
$
|
-
|
|
|
$
|
-
|
|
Malaysian income tax rate
|
|
|
34
|
%
|
|
|
34
|
%
|
Current tax expenses
|
|
$
|
-
|
|
|
$
|
-
|
|
Less: Valuation allowance
|
|
|
|
|
|
|
-
|
|
Income tax expenses
|
|
$
|
-
|
|
|
$
|
-
|
|
Singapore
Vitaxel Singapore PTE. Ltd. is a company incorporated in Singapore
and is subject to a statutory income tax rate of 8.5% on corporate profits up to SGD300,000 and 17% above SGD300,000. No provision
for income tax is required due to the company not having any income or losses for the years ended December 31, 2016 and 2015.
No deferred tax has been provided as there are no material temporary
differences arising during the year ended December 31, 2016 and 2015.
|
9.
|
AMOUNTS DUE TO AN ASSOCIATED COMPANY
|
|
|
As of
December 31,
2016
|
|
|
As of
December 31,
2015
|
|
Amounts due to an associated company
|
|
|
|
|
|
|
|
|
Vitaxel Corp.(Thailand) Ltd.
|
|
$
|
279,219
|
|
|
$
|
-
|
|
|
10.
|
RELATED PARTY TRANSACTIONS
|
As of December 31, 2016 and 2015, the amount of due from a related
party, Beedo SDN BHD, was $22,399 and nil respectively. Beedo SDN BHD was a subsidiary of related company Ho Wah Genting Group
SDN BHD from June 25, 2015 to August 12, 2016.
As of December 31, 2016 and 2015, the amount of due from director,
LIM WEE KIAT, was $1,482 and $5,638 respectively.
These amounts were unsecured,
interest-free and repayable on demand.
As of December 31, 2016 and 2015, the amount due from Leong Yee
Ming was $3,945 and $230, respectively. These amounts were unsecured, interest-free and repayable on demand.
As of December 31, 2016 and 2015, the amount of due to a related
party, Ho Wah Genting Group Sdn Bhd, was $607,918 and $233,100 respectively. The President of the Company, Dato’ Lim Hui
Boon, is also the Group President of Ho Wah Genting Sdn Bhd.
The amount due to Ho Wah Genting Holiday Sdn Bhd was $8,807 as of
December 31, 2016 and $nil as of December 31, 2015. A former director of the Company, Lim Chun Hoo, is also a director of Ho Wah
Genting Holiday Sdn Bhd. On March 31, 2017, Lim Chun Hoo resigned from the Company.
The amount due to Genting Highlands Taxi Services SDN BHD was $16,234
and $nil respectively as of December 31, 2016 and 2015. A director of the Company, Lim Wee Kiat, is also a director of Genting
Highlands Taxi Services SDN BHD.
The amount due to the Company’s associated company, Vitaxel
Corp. (Thailand) Ltd., was $279,219 as of December 31, 2016 and $nil as of December 31, 2015.
The Company recognized an expense of $110,439 and $nil pertaining
for event, traveling and accommodation expenses during the year ended December 31, 2016 and 2015, respectively, which was charged
to its related company, Ho Wah Genting Holiday Sdn. Bhd.
The Company recognized an expense of $20,304 and $nil pertaining
to rent during the year ended December 31, 2016 and 2015, respectively, which was paid to its affiliate, Ho Wah Genting Berhad.
The operating lease commitment to Ho Wah Genting Berhad as of December 31, 2016 was $40,607.
The Company purchased a motor vehicle of $16,601 and $nil pertaining
to the year ended December 31, 2016 and 2015, respectively, which was charged by its related company, Genting Highlands Taxi Services
Sdn. Bhd.
The Company recognized an expense of $74,882 and $nil pertaining
for website maintenance expense during the year ended December 31, 2016 and 2015, respectively, which was charged by its related
company, Beedo Sdn. Bhd.
The Company recognized an income of $172,348 and $nil pertaining
for royalties during the year ended December 31, 2016 and 2015 which was paid by its associated company, Vitaxel Corp. (Thailand)
Limited.
|
11.
|
COMMITMENTS AND CONTIGENCIES
|
Capital Commitments
As of December 31, 2016 and 2015, Company has no capital commitments.
Operation Commitments
The total future minimum lease payments under the non-cancellable
operating lease with respect to the office and the dormitory, as well as hardware trading platform as of December 31, 2016 are
payable as follows:
Year ending December 31, 2017
|
|
|
85,172
|
|
Year ending December 31, 2018
|
|
|
24,618
|
|
Total
|
|
$
|
109,790
|
|
Rental expense of the Company was $115,826 and $6,445 for the years
ended December 31, 2016 and 2015, respectively.
|
12.
|
EARNINGS (LOSS) PER SHARE
|
The Company has adopted ASC Topic No. 260,
“Earnings
Per Share,”
(“EPS”) which requires presentation of basic and diluted EPS on the face of the income statement,
and requires a reconciliation of the numerator and denominator of the basic EPS computation to the numerator and denominator of
the diluted EPS computation. In the accompanying financial statements, basic earnings (loss) per share is computed by dividing
net income (loss) by the weighted average number of shares of common stock outstanding during the year.
The following table sets forth the computation
of basic and diluted earnings per share:
|
|
For the years ended
|
|
|
|
December
31, 2016
|
|
|
December
31, 2015
|
|
|
|
|
|
|
|
|
Net loss applicable to common shares
|
|
$
|
(905,505
|
)
|
|
$
|
(725,912
|
)
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding (Basic)
|
|
|
4,936,470,492
|
|
|
|
3,999,000,000
|
|
|
|
|
|
|
|
|
|
|
Weighted average common shares outstanding (Diluted)
|
|
|
4,936,470,492
|
|
|
|
3,999,000,000
|
|
|
|
|
|
|
|
|
|
|
|
|
$
|
(0.00
|
)
|
|
$
|
(0.00
|
)
|
The Company has no potentially dilutive securities,
such as options or warrants, currently issued and outstanding.
The company has evaluated the period after the balance sheet date
through the day that the financial statements were issued, and determined that there were no subsequent events or transactions
that required recognition or disclosure in the financial statements except the following:
On January 15, 2017, the Company was notified by Mr. Lee Wei Boon,
a director and named executive officer, that he was resigning as a director and as Chief Financial Officer and Treasurer of the
Company, with such resignations being effective on January 15, 2017.
On March 31, 2017, Mr. Lim Chun Hoo notified the Company that he
was resigning from the Board of Directors of the Company (“Board”), effective immediately. Lim Chun Hoo’s resignation
was not due to any matter related to the Company’s operations, policies or practices, his experiences while serving on the
Board or any disagreement with the Board or management team.
On April 3, 2017, we appointed Ng Kar Woh (“Mr. Ng”),
age 37, to serve as the Chief Financial Officer of Vitaxel Group Limited (“Vitaxel” or the “Company”).