10-K

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

FORM 10-K

(Mark One)

x	ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the fiscal year ended June 30, 2018
¨	TRANSITION REPORT UNDER SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934
For the transition period from _____________ to _____________
Commission file number 333-188152

BIONOVATE TECHNOLOGIES CORP.

(Exact name of registrant as specified in its charter)

Nevada	33-1229553
(State or other jurisdiction of incorporation or organization)	(I.R.S. Employer Identification No.)

3651 Lindell Road, Suite D1141, Las Vegas, NV	89103
(Address of principal executive offices)	(Zip Code)

Registrant’s telephone number, including area code: 773-236-8132

Securities registered pursuant to Section 12(b) of the Act:

Title of Each Class	Name of Each Exchange On Which Registered
N/A	N/A

Securities registered pursuant to Section 12(g) of the Act:

N/A

(Title of class)

Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 the Securities Act.  Yes ¨ No x

Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act Yes ¨ No x

Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports) and (2) has been subject to such filing requirements for the last 90 days. Yes x No ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-K (§229.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files). Yes ¨ No x

Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K (§229.405 of this chapter)  is not contained herein, and will not be contained, to the best of registrant’s knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act.

Large accelerated filer	¨	Accelerated filer	¨
Non-accelerated filer	¨ (Do not check if a smaller reporting company)	Smaller reporting company	x
		Emerging Growth Company	x

 

If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).  Yes ¨ No x

The aggregate market value of Common Stock held by non-affiliates of the Registrant on December 31, 2017, was $228,673 based on a $0.0659 average bid and asked price of such common equity, as of the last business day of the registrant's most recently completed second fiscal quarter.

Indicate the number of shares outstanding of each of the registrant’s classes of common stock as of the latest practicable date.

15,579,749 common shares as of October 11, 2018.

DOCUMENTS INCORPORATED BY REFERENCE

None.

TABLE OF CONTENTS

Item 1.	Business	4
Item 1B.	Unresolved Staff Comments	6
Item 2.	Properties	7
Item 3.	Legal Proceedings	7
Item 4.	Mine Safety Disclosures	7
Item 5.	Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities	7
Item 6.	Selected Financial Dat	8
Item 7.	Management’s Discussion and Analysis of Financial Condition and Results of Operation	8
Item 7A.	Quantitative and Qualitative Disclosures About Market Risk	10
Item 8.	Financial Statements and Supplementary Data	10
Item 9.	Changes in and Disagreements With Accountants on Accounting and Financial Disclosure	11
Item 9A.	Controls and Procedures	11
Item 9B.	Other Information	12
Item 10.	Directors, Executive Officers and Corporate Governance	13
Item 11.	Executive Compensation	15
Item 12.	Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters	16
Item 13.	Certain Relationships and Related Transactions, and Director Independence	17
Item 14.	Principal Accounting Fees and Services	17
Item 15.	Exhibits, Financial Statement Schedules	18

3

PART I

Item 1. Business

Forward Looking Statements

This annual report contains forward-looking statements. These statements relate to future events or our future financial performance. In some cases, you can identify forward-looking statements by terminology such as “may”, “should”, “expects”, “plans”, “anticipates”, “believes”, “estimates”, “predicts”, “potential” or “continue” or the negative of these terms or other comparable terminology. These statements are only predictions and involve known and unknown risks, uncertainties and other factors, including the risks in the section entitled “Risk Factors” that may cause our or our industry’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels of activity, performance or achievements expressed or implied by these forward-looking statements.

Although we believe that the expectations reflected in the forward-looking statements are reasonable, we cannot guarantee future results, levels of activity, performance or achievements. Except as required by applicable law, including the securities laws of the United States, we do not intend to update any of the forward-looking statements to conform these statements to actual results.

Our consolidated financial statements are stated in United States Dollars (US$) and are prepared in accordance with United States Generally Accepted Accounting Principles.

In this annual report, unless otherwise specified, all dollar amounts are expressed in United States dollars and all references to “common shares” refer to the common shares in our capital stock.

As used in this current report and unless otherwise indicated, the terms “we”, “us” and “our” mean Bionovate Technologies Corp., unless otherwise indicated.

General Overview

Our company was incorporated in the State of Nevada on October 24, 2012. Founded in Calgary, Canada, we were formed and organized to capitalize on new opportunities found in the North American market for light-emitting diode (“LED”) lighting. With China as the manufacturing backbone of future LED products, we set up an office in Guangzhou, China in search of high quality products offered by reputable manufacturers to be introduced to Canada, the United States, and abroad.  In November 2016, we acquired Energy Alliance Labs Inc. (“Energy Alliance”), which is the 80% owner of Human Energy Alliance Laboratories Corp., an Idaho corporation (“HEAL”).  HEAL is a “green technology” and retail company with the mission of developing and distributing technologies that relieve its customers of certain burdens, while simultaneously decreasing the energy they use.  HEAL’s primary products are mid-sized wind turbines, small solar panels and related controllers and inverters.

On October 28, 2016, we entered into a share exchange agreement with Liao Zu Guo, a director of our company, whereby on the same date we issued 4,000,000 shares of our common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance.

On November 1, 2016, Energy Alliance closed the transactions contemplated under an agreement with certain shareholders of HEAL, in which the shareholders holding 80% of the outstanding equity interests of HEAL sold all of their shares of HEAL to Energy Alliance.

As a result of such transactions we became the owner of 100% of the issued and outstanding equity interests of Energy Alliance and Energy Alliance became the owner of 80% of the issued and outstanding equity interests of HEAL.

Effective October 4, 2016, we filed a Certificate of Dissolution of MJP Holdings Ltd., our wholly-owned subsidiary.

 

4

Effective November 28, 2016, we entered into a Share Exchange Agreement with MJP Lighting Solutions Ltd., a British Virgin Islands (“BVI”) corporation and Tong Tang and Zhao Hui Ma (the “Shareholders”) whereby the parties exchanged 100% of the issued and outstanding shares of BVI, belonging to our company for the tender of 5,500,000 restricted common shares of our company, belonging to the Shareholders, to our treasury for cancellation.

On January 1, 2017, MJP entered into transfer agreement with Liao Zu Guo, whereby we transferred 100% of the issued and outstanding equity interests of Energy Alliance for consideration of $20,000 for past services provided to our company by Mr. Guo.

On December 1, 2017, a majority of our stockholders and our board of directors approved a change of name of our company to “Bionovate Technologies Corp.” and a reverse stock split of our issued and outstanding shares of common stock on a fifty (50) old for one (1) new basis.

A Certificate of Amendment was filed with the Nevada Secretary of State on December 11, 2017 with an effective date of December 21, 2017.

The name change and reverse split became effective with the OTC Markets at the opening of trading on December 21, 2017 under the symbol “BIIO”. Our new CUSIP number is 09074V103.

We do not have any subsidiaries.

We have not been subject to any bankruptcy, receivership or similar proceeding.

Our Current Business

Bionovate Technologies Corp. is a medical device company that intends to develop the first automated treatment for age spots (solar lentigines). The technology (patent issued) uses a “scan and treat” protocol that removes age spots accurately and completely without disturbing the surrounding skin area. Current methods of treatment (lasers and manual liquid nitrogen spray devices) are either painful, costly, or require a physician to perform the procedure. The Bionovate system would be safe and would produce excellent results and can be used for other types of skin lesions. Its operation would require minimal user interaction and users can be trained in minutes. Bionovate Technologies is also looking into developing novel cancer detection methods based on its electronic imaging patent.

Principal Products and Services

Bionovate Technologies system is superior to the current methods. It is safer, quicker and easier-to-use and provides better results with minimal patient recovery time. The first product will be an automated computerized system that treats age spots anywhere on the body. The platform technology will allow subsequent systems to treat other types of skin lesions on all areas of the body. Each age spot will be treated in just a few seconds and the entire treatment requires less than fifteen minutes. Training and operation will be easy and straightforward. The energy source, cryogen, is well understood and the “pre-determined treatment protocols” allow for unrivaled safety, efficacy, and minimal (if any) pain.

Distribution Methods

The company expects to sell its systems to physicians and spas across the globe. The cost of the system includes a modest initial outlay for the device and a charge for a proprietary disposable for each treatment. Bionovate’s pricing for the device and disposable provides physician offices and spas with revenue and margins that exceed their business target ROI. The treatments are private-pay which avoids the insurance reimbursement and paperwork cycle and provides new direct revenue to physicians. In addition, the Company’s pricing structure allows physicians to present affordable pricing to patients. The simplicity of the system should allow non-physicians to act as operators freeing up the physician to conduct other revenue producing activities.

 

5

Competition

Current market offerings in the segment of age spots treatment are limited to lasers and manual cryo which are painful, carry a high cost and require expertise. In the case of manual cryo, there are too many variables and uncertain effectiveness as well as long healing times.

Dependence on One or a Few Major Customers

We have not yet established a customer base, but we expect to be able to not depend on a single distributor or customer.

Patents, trademarks, licenses, franchises, concessions, royalty agreements or labor contracts

Bionovate Technologies Corp current owns two patents: U.S. Patent No. 6,858,007 "Method and system for automatic classification and quantitative evaluation of adnexal masses based on a cross-sectional or projectional images of the adnexs and U.S. Patent No. 7,963,959 “Automated Cryogenic Skin Treatment”.

Need for Government Approval

Medical devices regulation is set by the FDA. In the case of the technologies we are looking to develop, we would need FDA 510(k) Class II approval.

Compliance with Government Regulation

There is a long history of the FDA approving such medical devices. The clearance review cycle is 90 days and we expect to be able to pass clinical testing cost-effectively.

Research and Development

We have not yet spent any significant funds on R&D yet.

Employees

We have no employees. Our officers and directors furnish their time to the development of our company at no cost.

WHERE YOU CAN FIND MORE INFORMATION

You are advised to read this Form 10-K in conjunction with other reports and documents that we file from time to time with the SEC. In particular, please read our Quarterly Reports on Form 10-Q and Current Reports on Form 8-K that we file from time to time. You may obtain copies of these reports directly from us or from the SEC at the SEC’s Public Reference Room at 100 F. Street, N.E. Washington, D.C. 20549, and you may obtain information about obtaining access to the Reference Room by calling the SEC at 1-800-SEC-0330. In addition, the SEC maintains information for electronic filers at its website http://www.sec.gov.

Item 1A. Risk Factors

As a “smaller reporting company”, we are not required to provide the information required by this Item.

Item 1B. Unresolved Staff Comments

As a “smaller reporting company”, we are not required to provide the information required by this Item.

 

6

Item 2. Properties

Our address principal executive office is located at 3651 Lindell Road, Suite D1141, Las Vegas, Nevada 89103.

Item 3. Legal Proceedings

From time to time, we may become involved in litigation relating to claims arising out of our operations in the normal course of business.  We are not involved in any pending legal proceeding or litigation and, to the best of our knowledge, no governmental authority is contemplating any proceeding to which we are a party and which would reasonably be likely to have a material adverse effect on our company.  To date, our company has never been involved in litigation, as either a party or a witness, nor has our company been involved in any legal proceedings commenced by any regulatory agency against our company.

Item 4. Mine Safety Disclosures

Not applicable.

Item 5. Market for Registrant’s Common Equity, Related Stockholder Matters and Issuer Purchases of Equity Securities

Our common stock is quoted on the Pink Sheets of the OTC Markets, under the symbol "BIIO". 

The high and low bid prices for our common stock as quoted on the Pink Open Market, for the periods indicated are as follows:

	High		Low
Year 2018:
Fourth Quarter Ended June 30, 2018	$	1.13	$	0.56
Third Quarter Ended March 31, 2018	$	3.00	$	0.0421
Second Quarter Ended December 31, 2017	$	19.98	$	0.0401
First Quarter Ended September 30, 2017	$	3.75	$	1.6575
Year 2017:
Fourth Quarter Ended June 30, 2017	$	17.95	$	1.85
Third Quarter Ended March 31, 2017	$	407.50	$	12.50
Second Quarter Ended December 31, 2016	$	241.50	$	9.50
First Quarter Ended September 30, 2016	$	N/A	$	N/A

Our shares are issued in registered form. VStock Transfer, 18 Lafayette PL, Woodmere NY 11598 (Telephone: (212) 828-8436; Facsimile: (646) 536-3179), is the registrar and transfer agent for our common shares.

On October 11, 2018, our company had 6 registered shareholders with 15,579,749 shares of common stock outstanding.

Dividend Policy

We have not paid any cash dividends on our common stock and have no present intention of paying any dividends on the shares of our common stock. Our current policy is to retain earnings, if any, for use in our operations and in the development of our business. Our future dividend policy will be determined from time to time by our board of directors.

7

Equity Compensation Plan Information

We do not have any equity compensation plans.

Recent Sales of Unregistered Securities; Use of Proceeds from Registered Securities

We did not sell any equity securities which were not registered under the Securities Act during the year ended June 30, 2018 that were not otherwise disclosed on our quarterly reports on Form 10-Q or our current reports on Form 8-K filed during the year ended June 30, 2018.

Purchase of Equity Securities by the Issuer and Affiliated Purchasers

We did not purchase any of our shares of common stock or other securities during our fourth quarter of our fiscal year ended June 30, 2018.

Item 6. Selected Financial Data

As a “smaller reporting company”, we are not required to provide the information required by this Item.

Item 7. Management’s Discussion and Analysis of Financial Condition and Results of Operations

The following discussion should be read in conjunction with our consolidated financial statements, including the notes thereto, appearing elsewhere in this annual report. The following discussion contains forward-looking statements that reflect our plans, estimates and beliefs. Our actual results could differ materially from those discussed in the forward looking statements. Factors that could cause or contribute to such differences include, but are not limited to those discussed below and elsewhere in this Annual Report. Our audited consolidated financial statements are stated in United States Dollars and are prepared in accordance with United States Generally Accepted Accounting Principles.

Results of Operations - Years Ended June 30, 2018 and 2017

The following summary of our results of operations should be read in conjunction with our consolidated financial statements for the years ended June 30, 2018 and 2017, which are included herein.

Our operating results for the year ended June 30, 2018 and 2017, and the changes between those periods for the respective items are summarized as follows:

	Year Ended
	June 30,
	2018			2017
Revenues	$	-		$	5,386
Cost of goods sold		-			(4,480	)
Operating Expenses		(118,877	)		(88,640	)
Total other income		(1,621,859	)		(253,348	)
Gain from Discontinued Operations		-			21,359
Net Loss	$	(1,740,736	)	$	(324,211	)

We recognized no revenues during the year ended June 30, 2018.

Net loss was $1,740,736 for year ended June 30, 2018 and $324,211 for the year ended June 30, 2017. The increase in net loss was primarily due to loss on settlement of debt of $1,549,439.

 

8

Operating expenses for the year ended June 30, 2018 and June 30, 2017 were $118,877 and $88,640 respectively. Operating expenses during 2018 and 2017 were primarily attributed to general and administration expenses of $72,536 and $33,354 and professional fees of $46,341 and $55,286, respectively. The increase in general and administration expenses is primarily due to management fee.

Liquidity and Capital

Working capital (deficit)

	June 30,			June 30,
	2018			2017
Current Assets	$	-		$	-
Current Liabilities	$	309,682		$	229,148
Working Capital (Deficit)	$	(309,682	)	$	(229,148	)

Cash flow

	Year Ended
	June 30,
	2018			2017
Net Cash Provided by Operating Activities	$	20,000		$	10,604
Net Cash Provided by investing Activities	$	(20,000	)	$	7,064
Net Cash Provided Used in Financing Activities	$	-		$	(17,588	)
Effect of Exchange Rate Changes on Cash	$	-		$	(1,016	)
Net Increase (Decrease) In Cash During the year	$	-		$	(936	)

As of June 30, 2018, we had a working capital deficit of $309,682 compared to a working capital deficit of $229,148 as of June 30, 2017. As of June 30, 2018, we had current assets of $0 (2017 - $0) and current liabilities of $309,682 (2017 - $229,148).

Cash Flows from Operating Activities

For the year ended June 30, 2018, net cash flows provided by operating activities was $0 consisting of a net loss of $1,740,736 and was offset by non-cash gain and loss of $1,633,925 and changes in operation assets and liabilities of $106,811. For the year ended June 30, 2017, net cash flows provided by operating activities was $10,604 consisting of a net loss of $324,211 and was offset by non-cash gain and loss of $256,519 and changes in operation assets and liabilities of $83,290 and increased net cash used in discontinued operation activities of $4,994.

Cash Flows Used in Investing Activities

For the years ended June 30, 2018 and 2017, we received $0 and $7,064 of cash in investing activities, respectively. For the years ended June 30, 2017, we received $3,754 from acquisition of subsidiaries and used $1,406 from disposal of subsidiaries and received $4,716 from discontinued investing activities.

Cash Flows from Financing Activities

For the year ended June 30, 2018, and 2017, we used $0 and $17,588 from financing activities, respectively. For the year ended June 30, 2017, we received $5,593 from loan payable and used $23,181 for common stock repurchases.

 

9

Liquidity and Capital Resources

Our cash balance at June 30, 2018 was $0, with $309,682 in outstanding current liabilities, consisting of accounts payable and accrued liabilities of $40,506, due to related parties of $186,281 and convertible notes payable of $82,895. We estimate total expenditures over the next 12 months are expected to be approximately $80,000.

Contractual Obligations

As a “smaller reporting company”, we are not required to provide tabular disclosure obligations.

Off-Balance Sheet Arrangements

We have no off-balance sheet arrangements that have or are reasonably likely to have a current or future effect on our financial condition, changes in financial condition, revenues or expenses, results of operations, liquidity, capital expenditures or capital resources that is material to stockholders.

Critical Accounting Policies

The preparation of financial statements in accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the 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 period. A change in managements’ estimates or assumptions could have a material impact on our financial condition and results of operations during the period in which such changes occurred. Actual results could differ from those estimates. Our financial statements reflect all adjustments that management believes are necessary for the fair presentation of their financial condition and results of operations for the periods presented.

Recent Accounting Pronouncements

Management has considered all recent accounting pronouncements issued. Our management believes that these recent pronouncements will not have a material effect on our company’s financial statements.

Item 7A. Quantitative and Qualitative Disclosures About Market Risk

As a “smaller reporting company”, we are not required to provide the information required by this Item.

Item 8. Financial Statements and Supplementary Data

 

10

Report of Independent Registered Public Accounting Firm

To the shareholders and the board of directors of Bionovate Technologies Corp

Opinion on the Financial Statements

We have audited the accompanying consolidated balance sheets of Bionovate Technologies Corp as of June 30, 2018 and 2017, the related statements of operations, stockholders' equity (deficit), and cash flows for the years then ended, and the related notes (collectively referred to as the "financial statements"). In our opinion, the financial statements present fairly, in all material respects, the financial position of the Company as of June 30, 2018 and 2017, and the results of its operations and its cash flows for the years then ended, in conformity with accounting principles generally accepted in the United States.

Basis for Opinion

These financial statements are the responsibility of the Company's management. Our responsibility is to express an opinion on the Company's financial statements based on our audit. We are a public accounting firm registered with the Public Company Accounting Oversight Board (United States) ("PCAOB") and are required to be independent with respect to the Company in accordance with the U.S. federal securities laws and the applicable rules and regulations of the Securities and Exchange Commission and the PCAOB.

We conducted our audit in accordance with the standards of the PCAOB. Those standards require that we plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement, whether due to error or fraud.

Our audit included performing procedures to assess the risks of material misstatement of the financial statements, whether due to error or fraud, and performing procedures that respond to those risks. Such procedures included examining, on a test basis, evidence regarding the amounts and disclosures in the financial statements. Our audit also included evaluating the accounting principles used and significant estimates made by management, as well as evaluating the overall presentation of the financial statements. We believe that our audit provides a reasonable basis for our opinion.

Substantial Doubt about the Company’s Ability to Continue as a Going Concern

The accompanying financial statements have been prepared assuming that the Company will continue as a going concern. As discussed in Note 2 to the financial statements, the Company has suffered recurring losses from operations and has a significant accumulated deficit. In addition, the Company continues to experience negative cash flows from operations. These factors raise substantial doubt about the Company's ability to continue as a going concern. Management's plans in regard to these matters are also described in Note 2. The financial statements do not include any adjustments that might result from the outcome of this uncertainty.

/S/ BF Borgers CPA PC

BF Borgers CPA PC

We have served as the Company's auditor since 2018

Lakewood, CO

October 22, 2018

F-1

Bionovate Technologies Corp

BALANCE SHEETS

	June 30,			June 30,
	2018			2017
ASSETS
Current Assets
Cash	$	-		$	-
Total Current Assets		-			-
TOTAL ASSETS	$	-		$	-
LIABILITIES AND STOCKHOLDERS' DEFICIT
Current Liabilities
Accounts payable and accrued liabilities	$	40,506		$	38,744
Due to related parties		186,281			147,185
Convertible notes payable		82,895			43,219
Total Current Liabilities		309,682			229,148
TOTAL LIABILITIES		309,682			229,148
Stockholders' Deficit
Preferred stock: 90,000,000 authorized; $0.0001 par value - no shares issued and outstanding		-			-
Common stock: 100,000,000 authorized; $0.0001 par value 15,579,749 and 299,400 shares issued and outstanding, respectively		1,558			30
Additional paid in capital		2,056,059			383,372
Accumulated other comprehensive income		-			14,013
Accumulated deficit		(2,367,299	)		(626,563	)
Total Deficit		(309,682	)		(229,148	)
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT	$	-		$	-

The accompanying notes are an integral part of these financial statements

F-2

Bionovate Technologies Corp

STATEMENT OF OPERATIONS

	Year Ended
	June 30,
	2018			2017
Revenues	$	-		$	5,386
Cost of goods sold		-			4,480
Gross profit		-			906
Operating Expenses
General and administration		72,536			33,354
Professional		46,341			55,286
Total operating expenses		118,877			88,640
Net loss from operations		(118,877	)		(87,734	)
Other income (expense)
Realized foreign currency gain		15,012			658
Interest expense		(67,432	)		(60,607	)
Impairment of intangible assets and goodwill		(20,000	)		(226,007	)
Gain from disposal of subsidiaries		-			32,608
Loss on settlement of debt		(1,549,439	)		-
Total other expense		(1,621,859	)		(253,348	)
Net loss before taxes		(1,740,736	)		(341,082	)
Discontinued operations
Loss from discontinued operations		-			(4,488	)
Gain from sale of investment		-			21,359
Gain from discontinued operations		-			16,871
Net loss	$	(1,740,736	)	$	(324,211	)
Net loss attributable to the non-controlling interest		-			(898	)
Net loss attributable to MJP International Ltd.	$	(1,740,736	)	$	(323,313	)
Comprehensive income (loss)	$	(1,740,736	)	$	(323,313	)
Foreign currency adjustment		(14,013	)		(1,679	)
Comprehensive loss	$	(1,754,749	)	$	(324,992	)
Basic and dilutive loss per share
Continuing operations	$	(0.27	)	$	(1.14	)
Discontinuing operations	$	-		$	0.06
Net loss	$	(0.27	)	$	(1.09	)
Weighted average number of shares outstanding		6,340,325			298,018

The accompanying notes are an integral part of these financial statements

 

F-3

Bionovate Technologies Corp

 STATEMENT OF STOCKHOLDERS’ DEFICIENCY

										Accumulated
							Additional			Other						Non-
	Common Stock						Paid in			Comprehensive			Accumulated			controlling
	Shares			Amount			Capital			Income			Deficit			Interest			Total
Balance, June 30, 2016		322,170		$	32		$	113,774		$	15,692		$	(280,133	)	$	-		$	(150,635	)
Share issuance per assets acquisition		80,000			8			199,992			-			-			-			200,000
Share repurchase		(130,000	)		(13	)		(637	)		-			-			-			(650	)
Share repurchase		(12,770	)		(1	)		(63	)		-			(23,117	)		-			(23,181	)
Common stock issued for conversion of debt		40,000			4			9,996			-			-			-			10,000
Debt forgiveness		-			-			4,461			-			-			-			4,461
Non-controlling interest		-			-			-			-			-			(2,678	)		(2,678	)
Deconsolidation		-			-			-			-			-			3,576			3,576
Beneficial conversion feature		-			-			55,849			-			-			-			55,849
Foreign currency translation		-			-			-			(1,679	)		-			-			(1,679	)
Net loss		-			-			-			-			(323,313	)		(898	)		(324,211	)
Balance, June 30, 2017		299,400		$	30		$	383,372		$	14,013		$	(626,563	)	$	-		$	(229,148	)
Debt forgiveness																				-
Common stock issued for conversion of debt		2,280,000			228			11,172			-			-			-			11,400
Common stock issued for settlement of debt		13,000,000			1,300			1,613,139			-			-			-			1,614,439
Adjustment to common stock		349			-			-			-			-			-			-
Beneficial conversion feature		-			-			48,376			-			-			-			48,376
Foreign currency translation		-			-			-			(14,013	)		-			-			(14,013	)
Net loss		-			-			-			-			(1,740,736	)		-			(1,740,736	)
Balance, June 30, 2018		15,579,749		$	1,558		$	2,056,059		$	-		$	(2,367,299	)	$	-		$	(309,682	)

The accompanying notes are an integral part of these financial statements

 

F-4

Bionovate Technologies Corp

STATEMENT OF CASH FLOWS

	Year Ended
	June 30,
	2018			2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss from continued operations	$	(1,740,736	)	$	(341,082	)
Loss from discontinued operation		-			(4,488	)
Gain from sale of investment		-			21,359
Net loss	$	(1,740,736	)	$	(324,211	)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Expenses paid by convertible notes		28,376			9,969
Impairment of intangible assets and goodwill		20,000			226,007
Gain from disposal of subsidiaries		-			(32,608	)
Amortization of debt discount		51,122			53,151
Loss on settlement of debt		1,549,439			-
Foreign currency adjustment		(15,012	)		-
Changes in operating assets and liabilities:
Accounts payable and accrued liabilities		41,811			10,131
Accrued salary		65,000			-
Due to related parties		-			73,159
Net cash provided by continuing operating activities		-			15,598
Net cash used in discontinuing operating activities		-			(4,994	)
Net cash provided by operating activities		-			10,604
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash from acquisition		-			3,754
Disposal of subsidiaries		-			(1,406	)
Net cash provided by continuing investing activities		-			2,348
Net cash provided by discontinuing investing activities		-			4,716
Net cash provided by investing activities		-			7,064
CASH FLOWS FROM FINANCING ACTIVITIES:
Loan payable		-			5,593
Common stock repurchases		-			(23,181	)
Net cash used in financing activities		-			(17,588	)
Effect of exchange rate changes on cash		-			(1,016	)
Net change in cash and cash equivalents		-			(936	)
Cash and cash equivalents, beginning of period		-			936
Cash and cash equivalents, end of period	$	-		$	-
Supplemental cash flow information
Cash paid for interest	$	-		$	-
Cash paid for taxes	$	-		$	-
Non-cash transactions:
80,000 shares issued due to assets acquisition	$	-		$	200,000
130,000 shares cancelled due to disposal of subsidy	$	-		$	650
Net assets acquired from Energy Alliance	$	-		$	84,000
Net liabilities acquired from Energy Alliance	$	-		$	(19,290	)
Net assets acquired from HEAL	$	-		$	4,498
Net liabilities acquired from HEAL	$	-		$	(15,215	)
Convertible note exchanged for due to related parties	$	-		$	27,641
Beneficial conversion feature	$	28,376		$	55,849
Common stock issued for conversion of debt	$	11,400		$	10,000
Debt forgiveness	$	-		$	4,461
Accounts payable paid by related party	$	41,025		$	-
Common stock issued for settlement of debt	$	1,614,439		$	-
Convertible notes issued for purchase of patents	$	20,000		$	-

The accompanying notes are an integral part of these financial statements

 

F-5

Bionovate Technologies Corp

NOTES TO THE FINANCIAL STATEMENTS

NOTE 1 – NATURE AND CONTINUANCE OF OPERATIONS

Bionovate Technologies Corp. (the “Company”, or the “Corporation”) was incorporated in the state of Nevada, United States on October 24, 2012 under the name MJP International Ltd. On December 1, 2017, the Company’s corporate name was changed to Bionovate Technologies Corp.

The Corporation was formed and organized to capitalize on new opportunities found in the North American market for light-emitting diode (“LED”) lighting. With China as the manufacturing backbone of future LED products, the Corporation has set up an office in Guangzhou, China in search of high-quality products offered by reputable manufacturers to be introduced to Canada, the United States, and abroad. The Corporation has set out further details of the acquisition below as well as in Notes 3 and 4 to these consolidated financial statements.

On February 5, 2016, Energy Alliance Labs Inc. (“Energy Alliance”), incorporated on February 5, 2016, entered into an agreement to acquire 80% of the issued and outstanding equity interests of Human Energy Alliance Laboratories Corp., an Idaho corporation (“HEAL”) from certain shareholders of HEAL for $80,000. The cash for the acquisition of shares was transferred to the shareholders on November 1, 2016 and that is when the acquisition closed. Subsequent to the transfer of cash, the previous shareholders of the Company owned 80% of the issued and outstanding shares of HEAL.

On October 28, 2016, the Company entered into a Share Exchange Agreement (the “Share Exchange Agreement”) with Liao Zu Guo, an individual residing in China, whereby the Company issued 80,000 shares of its common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance. Subsequent to the execution of the Share Exchange Agreement, Liao Zu Gao became a member of the Board of Directors of the Company.

On January 1, 2017, the Company entered into transfer agreement with Liao Zu Guo, whereby the Company transferred 100% of issued and outstanding equity interests of Energy Alliance for $20,000 for past services provided by Executive to the Company and agreed to assume the debt of Energy Alliance owed to the Liao Zu Guo in the aggregate amount of $28,239.

On December 1, 2017, a majority of stockholders and the board of directors approved a reverse stock split of the issued and outstanding shares of common stock on a fifty (50) old for one (1) new basis. A Certificate of Amendment was filed with the Nevada Secretary of State on December 11, 2017 with an effective date of December 21, 2017. All share and per share information in these financial statements retroactively reflect this stock distribution.

Our executive offices are located at 3006 E. Goldstone Drive, Suite 218, Meridian, ID 83642. Our telephone number is (208) 231 – 1606.

NOTE 2 – GOING CONCERN

The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. However, the Company has an accumulated deficit at June 30, 2018 of $2,367,299, is in a net liability position and needs cash to maintain its operations.

These factors raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. The Company’s continued existence is dependent upon management’s ability to develop profitable operations, continued contributions from the Company’s executive officers to finance its operations and the ability to obtain additional funding sources to explore potential strategic relationships and to provide capital and other resources for the further development and marketing of the Company’s products and business.

 

F-6

NOTE 3 – SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The Corporation’s financial statements included herein are prepared under the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America.

Principles of Consolidation

These financial statements include the Corporation’s wholly owned subsidiaries MJP Lighting Solutions Ltd., MJP Holdings Ltd. and Energy Alliance Lab Inc., and Human Energy Alliance Laboratories Corp., which is 80% owned by Energy Alliance. All subsidiaries were disposed during the year ended June 30, 2018. All inter-company accounts and transactions before the Company disposed of these subsidiaries have been eliminated.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Business Combination

In our accounting for business combinations, judgment is required in determining whether an intangible asset is identifiable, and should be recorded separately from goodwill. Additionally, estimating the acquisition date fair values of the identifiable assets acquired and liabilities assumed involves considerable management judgment. The necessary measurements are based on information available on the acquisition date and are based on expectations and assumptions that have been deemed reasonable by management. These judgments, estimates, and assumptions can materially affect our financial position and profit for several reasons, including the following:

· Subsequent negative changes in the estimated fair values of assets may result in additional expense from impairment charges.

· Subsequent changes in the estimated fair values of liabilities and provisions may result in additional expense (if increasing the estimated fair value) or additional income (if decreasing the estimated fair value).

 

Foreign currency translation and functional currency conversion

Prior to July 1, 2017, the Company’s functional currency was the Canadian dollar. Translation gains and losses from the application of the U.S. dollar as the reporting currency during the period that the Canadian dollar was the functional currency are included as part of cumulative currency translation adjustment, which is reported as a component of shareholders’ equity under accumulated other comprehensive loss.

The Company re-assessed its functional currency and determined as at Jul 1, 2017, its functional currency changed from the Canadian dollar to the U.S. dollar based on management’s analysis of changes in our organization. The change in functional currency is accounted for prospectively from July 1, 2017 and financial statements prior to and including the period ended December 31, 2016 have not been restated for the change in functional currency.

For periods commencing July 1, 2017, monetary assets and liabilities denominated in foreign currencies are translated into U.S. dollars using exchange rates in effect at the balance sheet date. Opening balances related to non-monetary assets and liabilities are based on prior period translated amounts, and non-monetary assets and non-monetary liabilities incurred after Jul 1, 2017 are translated at the approximate exchange rate prevailing at the date of the transaction. Revenue and expense transactions are translated at the approximate exchange rate in effect at the time of the transaction. Foreign exchange gains and losses are included in the statement of operations and comprehensive loss as foreign exchange gains.

 

F-7

Cash

For purposes of reporting within the statements of cash flows, the Corporation considers all cash on hand, cash accounts not subject to withdrawal restrictions or penalties, and all highly liquid debt instruments purchased with a maturity of three months or less to be cash and cash equivalents.

Comprehensive Loss

The Corporation adopted FASB ASC 220, “Reporting Comprehensive Income”, which establishes standards for the reporting and display of comprehensive income and its components in the financial statements. Comprehensive income consists of net income and other gains and losses affecting stockholders’ equity that are excluded from net income, such as unrealized gains and losses on investments available for sale, foreign currency translation gains and losses and minimum pension liability. Since inception, the Corporation’s other comprehensive income represents foreign currency translation adjustments.

Basic and Diluted Loss per Common Stock

FASB ASC 260, “Earnings per share” requires dual presentation of basic and diluted earnings per share (EPS) with a reconciliation of the numerator and denominator of the EPS computations. Basic earnings per share amounts are based on the weighted average shares of common stock outstanding. If applicable, diluted earnings per stock would assume the conversion, exercise or issuance of all potential common stock instruments such as options, warrants and convertible securities, unless the effect is to reduce a loss or increase earnings per share. Diluted net income (loss) per common stock on the potential exercise of the equity-based financial instruments is not presented where anti-dilutive.

Fair Value of Financial Instrument

The Corporation follows FASB ASC 820, “Fair Value Measurements and Disclosures”, for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis. This new accounting standard establishes a single definition of fair value and a framework for measuring fair value, sets out a fair value hierarchy to be used to classify the source of information used in fair value measurement and expands disclosures about fair value measurements required under other accounting pronouncements. It does not change existing guidance as to whether or not an instrument is carried at fair value. The Corporation defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

 

F-8

When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Corporation considers the principal or most advantageous market in which the Corporation would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Corporation applies FASB ASC 825, Financial Instruments, which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value. The Corporation has not elected the fair value option for any eligible financial instruments.

Fair Value Measurements

The Corporation follows FASB ASC 820, Fair Value Measurements and Disclosures, for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis. This new accounting standard establishes a single definition of fair value and a framework for measuring fair value, sets out a fair value hierarchy to be used to classify the source of information used in fair value measurement and expands disclosures about fair value measurements required under other accounting pronouncements. It does not change existing guidance as to whether or not an instrument is carried at fair value. The Corporation defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Corporation considers the principal or most advantageous market in which the Corporation would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Corporation has adopted FASB ASC 825, Financial Instruments, which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value. The Corporation has not elected the fair value option for any eligible financial instruments.

Impairment of Long-Lived Assets

Impairment losses on long-lived assets are recognized when events or changes in circumstances indicate that the undiscounted cash flows estimated to be generated by such assets are less than their carrying value and, accordingly, all or a portion of such carrying value may not be recoverable. Impairment losses are then measured by comparing the fair value of assets to their carrying amounts. During the year ended June 30, 2018 and 2017, the Company recognized impairment loss of $20,000 and $226,007, respectively

Revenue Recognition

The Corporation follows FASB ASC 606, “Revenue from Contracts with Customers” for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured.

The Corporation recognizes revenue when persuasive evidence of an arrangement exists, shipment has occurred or services rendered, the price is fixed or determinable and payment is reasonably assured. Customers take ownership at point of sale and bear the costs and risks of delivery.

We currently do not have operations, and its management seeks to acquire cash generating businesses.

Cost of Goods Sold

Cost of goods sold includes the following expenses; inventory and various expenses related to sell the products.

Beneficial Conversion Feature

For conventional convertible debt where the rate of conversion is below market value, the Corporation records a Beneficial Conversion Feature (the “BCF”) and related debt discount.

When the Company records a BCF, the intrinsic value of the BCF is recorded as a debt discount against the face amount of the respective debt instrument (offset to additional paid-in capital) and amortized to interest expense over the life of the debt. 

Income Taxes

The Corporation follows FASB ASC Topic 820, “Income Taxes” which requires the use of the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for future tax consequences attributable to temporary differences between the financial statements carrying amounts of existing assets and liabilities and loss carry forwards and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The tax consequences of most events recognized in the current year’s financial statements are included in determining income taxes currently payable. However, because tax laws and financial accounting standards differ in their recognition and measurement of assets, liabilities, equity, revenues, expenses, gains and losses, differences arise between the amount of taxable income and pre-tax financial income for a year and between the tax bases of assets or liabilities and their reported amounts in the financial statements.

 

F-9

Because the Corporation assumes that the reported amounts of assets and liabilities will be recovered and settled, respectively, a difference between the tax basis of an asset or a liability and its reported amount in the balance sheet will result in a taxable or a deductible amount in some future years when the related liabilities are settled or the reported amounts of the assets are recovered, which gives rise to a deferred tax asset. The Corporation must then assess the likelihood that the deferred tax assets will be recovered from future taxable income and to the extent the Corporation believes that recovery is not likely, the Corporation must establish a valuation allowance.

The Corporation has adopted FASB guidance on accounting for uncertainty in income taxes which provides a financial statement recognition threshold and measurement attribute for a tax position taken or expected to be taken in a tax return. Under this guidance, the Corporation may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The guidance also extends to de-recognition of income tax assets and liabilities, classification of current and deferred income tax assets and liabilities, accounting for interest and penalties associated with tax positions, and income tax disclosures.

Recent Accounting Pronouncements

The Company adopts new pronouncements relating to generally accepted accounting principles applicable to the Company as they are issued, which may be in advance of their effective date. Management does not believe that any recently issued, but not yet effective accounting standards, if currently adopted, would have a material effect on the accompanying financial statements.

NOTE 4 – ASSETS ACQUISITION AND BUSINESS COMBINATION

On February 5, 2016, Energy Alliance entered into an agreement to acquire 80% of the issued and outstanding equity interests of HEAL from certain shareholders of HEAL for $80,000. The cash for the acquisition of shares was transferred to the shareholders on November 1, 2016 and that is when the acquisition closed. Energy Alliance was formed on February 5, 2016 for the purpose of acquiring HEAL. All of the issued and outstanding shares of Energy Alliance totaling 35,000,000 were owned by Mr. Liao Zu Gao.

On October 28, 2016, the Corporation entered into a Share Exchange Agreement (the “Share Exchange Agreement”) with Liao Zu Guo, an individual residing in China, where the Corporation issued 80,000 shares of its common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance.

Subsequent to the execution of the Share Exchange Agreement, Liao Zu Gao became a member of the Board of Directors of the Company.

Subsequent to the transfer of cash, the previous shareholders of the Corporation own 80% of the issued and outstanding shares of HEAL through its wholly owned subsidiary, Energy Alliance.

The definition of a business under ASC 805-10-55 consists of inputs and processes applied to those inputs that have the ability to create outputs. Although businesses usually have outputs, outputs are not required for an integrated set to qualify as a business. Based on the criteria set out in ASC 805-10-55 the Company determined Energy Alliance, which was formed for the sole purpose of acquiring HEAL, does not constitute a business and accordingly, accounted this acquisition of Energy Alliance as an acquisition of assets.

 

F-10

The acquisition of Energy Alliance was accounted for as follows:

Consideration given up:
Share issued:		80,000
Market price of the Company’s shares on October 28, 2016	$	2.50
Fair value of equity instrument issued	$	200,000
Assets acquired/liabilities assumed:
Total assets	$	84,000
Total liabilities	$	(19,290	)
Recognized intangible assets	$	135,290
Total	$	200,000

The Corporation recognized an intangible asset with an indefinite useful life of $135,290 representing the value of the unexecuted purchase agreement that Energy Alliance holds in HEAL at the time of acquisition by the Company.

The Corporation treated the acquisition of HEAL as business combination.

Consideration given up:	October 28, 2016 $
Cash:		80,000
Allocation of purchases price:
Cash and cash equivalents		3,754
Inventory		1,869
Liabilities assumed:
Accounts payable		(8,300	)
Estimated warranty liabilities		(3,254	)
Advances from Energy Alliance		(4,000	)
Loan payable		(3,464	)
Net assets acquired		(13,395	)
Allocated to non-controlling interest		2,678
Intangible assets and goodwill		90,717

The Corporation recognized goodwill of HEAL of $90,717 and recorded non-controlling interest of ($2,678) which reflects income attributable to the non-controlling interest in HEAL. Goodwill of $90,717 is not deductible for income tax purposes.

The amount of HEAL’s revenue and net loss from operations included in the Corporation’s condensed consolidated interim statements of operations and comprehensive loss for the year ended June 30, 2017 are as follows:

	Year ended
	June 30,
	2017
Revenue	$	1,941
Net loss	$	(11,779	)

NOTE 5 – GOODWILL AND INTANGIBLE ASSETS

Intangible assets from the acquisition of Energy Alliance

The Corporation recognized an intangible asset with an indefinite useful life of $135,290 representing the value of the unexecuted purchase agreement that Energy Alliance holds in HEAL at the time of acquisition by the Company.

 

F-11

Consideration given up:
Share issued:		80,000
Market price of the Company’s shares on October 28, 2016	$	2.50
Fair value of equity instrument issued	$	200,000
Assets acquired/liabilities assumed:
Total assets	$	84,000
Total liabilities	$	(19,290	)
Recognized intangible assets	$	135,290
Total	$	200,000

Intangible assets and good from the acquisition of HEAL

The Corporation recognized goodwill of HEAL of $90,717

Consideration given up:	October 28, 2016 $
Cash:		80,000
Allocation of purchases price:
Cash and cash equivalents		3,754
Inventory		1,869
Liabilities assumed:
Accounts payable		(8,300	)
Estimated warranty liabilities		(3,254	)
Advances from Energy Alliance		(4,000	)
Loan payable		(3,464	)
Net assets acquired		(13,395	)
Allocated to non-controlling interest		2,678
Intangible assets and goodwill		90,717

The Corporation follows the GAAP methodology to determine impairment of goodwill and intangible assets.

Step one recoverability test: Impairment must be recognized when the carrying value of the assets exceeds the undiscounted future cash flows from their use and disposal.

Step two Loss measurement: The excess of the carrying amount over the fair value of the assets. If the fair value is not available, the present value of future cash flows discounted at the firm’s incremental borrowing rate should be used.

During the period ended December 31, 2016 management conducted a test for impairment of goodwill and intangible assets. As a result of certain indicators including a substantive decline in revenue year over year representing over 2/3 loss in gross revenues, with no discernable timeframe for recovery, or large recurring customer purchases or customer relationships and as a result of an analysis of future discounted cash flows, management of the Corporation determined to impair intangible assets and goodwill fully as of December 31, 2016.

Patent

During the year ended June 30, 2018, the Company purchased patents for convertible notes of $20,000.

During the period ended June 30, 2018, we determined that the carrying value of patents exceeded its fair value at the measurement date, requiring step two in the impairment test process. The fair value of the patents was determined primarily using an income approach based on the present value of discounted cash flows. We determined the implied fair value of patents was substantially below the carrying value of the reporting unit. Accordingly, we recognized a impairment loss of $20,000, which resulted in patent of $0 as of June 30, 2018.

 

F-12

NOTE 6 – DISPOSAL OF SUBSIDIARIES

The Company disposed of the below subsidiaries in order to focus its efforts on other opportunities. No opportunities have been identified as of June 30, 2017.

On October 4, 2016, the Corporation filed a Certification of Dissolution of MJP Holdings Ltd. Upon the dissolution MJP Holdings Ltd, the Corporation recorded gain on disposal of $33,436(C$44,007).

On November 28, 2016, the Corporation signed a share exchange agreement between the Corporation, MJP Lighting Solution Ltd., and Chris Tong Tang and Zhao Hui Ma whereby all parties agreed to exchange 100% of the issued and outstanding securities of MJP Lighting Solutions Ltd., belonging to the Company, for the return the 130,000 shares, belonging to Chris Tong Tang and Zhao Hui Ma, to the Company’s treasury for cancellation.

As of November 28, 2016, the financial position is below:

MJP Lighting Solution Ltd.
Net Assets	$	1,406
Net Liabilities	$	(3,969	)
Consideration given up:
Reacquisition of stock		(130,000	)
Fair value of reacquired stock	$	(650	)
Gain on disposal	$	3,213

The Corporation has written off and included in gain on disposal the amount of $4,041 due to uncollectable receivables from above subsidiaries.

Cumulative translation adjustment brought into net income upon disposal ($658).

On January 1, 2017, the Company entered into transfer agreement with Liao Zu Guo, whereby the Company transferred 100% of issued and outstanding equity interests of Energy Alliance for consideration of $20,000 and assumption of debt of $28,239 for past services provided by Executive to the Company.

During the year ended June 30, 2017, the Company recorded a gain on the sale of $21,359. The Company has no continuing involvement in the operations of Energy Alliance and its subsidiary HEAL, however Liao Zu Guo continues to hold a position on the board of directors. The sale of Energy Alliance qualified as a discontinued operation of the Company and accordingly, the Company has excluded results of Energy Alliance operations from its Statements of Operations and Comprehensive Income (Loss) to present this business in discontinued operations.

The following table shows the results of operations of Energy Alliance and HEAL for the period ended January 1, 2017 which are included in the loss from discontinued operations:

	January 1,
	2017
Revenue	$	1,987
Cost of goods sold		923
Gross profit		1,064
General & administration		5,352
Professional fees		200
Operating loss		(4,488	)
Gain from sale of Energy Alliance		21,359
Gain from discontinued operations	$	16,871

 

F-13

The following table shows the carrying amounts of the major classes of assets and liabilities associated with Energy Alliance and its subsidiary HEAL as of the January 1, 2017.

	January 1,
	2017
Cash	$	15,284
Inventory		1,010
Accounts payable		(6,771	)
Credit card		(2,549	)
Due to related party		(28,239	)
Loan payable		(9,057	)
Estimated warranty liabilities		(2,852	)
Net liabilities		(33,174	)
Non-controlling interest		3,576
Assumption of due to related party		(28,239	)
Consideration for past services provided by Executive to the company		20,000
Gain on sale of Energy Alliance	$	21,359

NOTE 7 – CONVERTIBLE NOTE

Convertible notes payable at June 30, 2018 and June 30, 2017, consists of the following:

	June 30,		June 30,
	2018		2017
Dated November 1, 2016	$	4,439	$	8,239
Dated January 1, 2017 - 1		10,489		14,289
Dated January 1, 2017 - 2		6,200		10,000
Dated January 1, 2017 - 3		3,422		3,468
Dated June 30, 2017		9,969		9,969
Dated April 1, 2018 -1		10,000		-
Dated April 1, 2018 -2		10,000		-
Dated June 30, 2018		28,376
Total convertible notes payable		82,895		45,965
Less: Unamortized debt discount		-		(2,746	)
Total convertible notes		82,895		43,219
Less: current portion of convertible notes		82,895		43,219
Long-term convertible notes	$	-	$	-

For the year ended June 30, 2018 and 2017, the Company recognized interest expense of $16,310 and $6,442 and amortization of discount, included in interest expense, of $51,122 and $53,151, respectively. As of June 30, 2018, and 2017, the Company recorded accrued interest of $23,727 and $6,703, respectively

Dated November 1, 2016

On November 1, 2016, the Company issued a convertible note with a conversion price of $0.005 to extinguish debt of $18,239. The convertible note is unsecured, bears interest at 4% per annum and due and payable on November 1, 2017. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $18,239. During the year ended June 30, 2018, the convertible note of $3,800 was converted into 760,000 shares of common stock.

 

F-14

Dated January 1, 2017 - 1

On January 1, 2017, the Company issued a convertible note with a conversion price of $0.005 to extinguish amounts due to related parties of $10,000. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $10,000. During the year ended June 30, 2018, the convertible note of $3,800 was converted into 760,000 shares of common stock.

Dated January 1, 2017 - 2

On January 1, 2017, the Company issued a convertible note with a conversion price of $0.005 to extinguish amounts due to related parties of $14,289. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $14,289. During the year ended June 30, 2018, the convertible note of $3,800 was converted into 760,000 shares of common stock.

Dated January 1, 2017 - 3

On January 1, 2017, the Company issued a convertible note with a conversion price of $0.005 to extinguish amounts due to related parties of $3,352 (Canadian dollar (“CAD”) $4,500). The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $3,352 (CAD $4,500). The difference of amount was a result of change of exchange rate.

Dated June 30, 2017

On June 30, 2017, the Company issued a convertible note with a conversion price of $0.01 to pay operating expenses of $9,969. The convertible note is unsecured, bears interest at 35% per annum, has no maturity date and due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $9,969.

Dated April 1, 2018 - 1

On April 1, 2018, the Company issued a convertible note of $10,000 with a conversion price of $0.01 to pay a purchase of a patent of $10,000. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $10,000.

Dated April 1, 2018 - 2

On April 1, 2018, the Company issued a convertible note of $10,000 with a conversion price of $0.01 to pay a purchase of a patent of $10,000. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $10,000.

Dated June 30, 2018

On June 30, 2018, the Company issued a convertible note with a conversion price of $0.01 to pay operating expenses of $28,376. The convertible note is unsecured, bears interest at 30% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $28,376.

NOTE 8 – DUE TO RELATED PARTIES

The Corporation was obligated to shareholders for funds advanced to the Corporation for working capital. The advances are unsecured and no interest rate or payback schedule has been established.

 

F-15

During the year ended June 30, 2018 and 2017, the Corporation borrowed a total amount of $0 and $73,159 from shareholders, respectively.

During the year ended June 30, 2018, the Company’s CEO paid accounts payable of $41,025 on behalf of the Company. The loans are unsecured, non-interest bearing and due on demand.

On July 1, 2017, the Company entered into an employment agreement with CEO of the Company which the Company shall pay a cash based base salary of $65,000 from July 1, 2017 through December 31, 2017. For the year ended June 30, 2018, the Company recorded management fee of $65,000.

On February 7, 2018, the Company issued 13,000,000 shares of common stock to settle accrued salary of $65,000. As a result, the Company recorded loss on settlement of debt of $1,549,439.

On January 1, 2017, the Corporation issued convertible notes to repay the amount owed to related parties in the aggregate amount of $27,641 (Note 7). The advances are unsecured, non-interest bearing and no payback schedule has been established.

During the year ended June 30, 2017, due to related party of $4,461 (C$5,789) was forgiven and the Company recorded debt forgiveness of $4,461 as additional paid-in capital.

As of June 30, 2018, and 2017, the Corporation owed related parties $186,281 and $147,185, respectively.

NOTE 9 – EQUITY

Preferred Stock

The Company is authorized to issue 90,000,000 shares of preferred stock at a par value of $0.0001.

No shares were issued and outstanding as of June 30, 2018 and 2017, respectively.

Common Stock

The Company is authorized to issue 100,000,000 shares of common stock at a par value of $0.0001.

During the year ended June 30, 2018, the Company issued common stock as follows;

· 2,280,000 shares of common stock for conversion of debt of $11,400.

· 13,000,000 shares of common stock for conversion of accrued salary of $65,000.

· 349 shares of common stock to correct the shares issued and outstanding after the reverse stock split on December 21, 2017.

 

During the year ended June 30, 2017, the Company issued common shares as follows,

· On October 28, 2016, the Company issued 80,000 shares of its common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance.

· During the year ended June 30, 2017, the Company issued 40,000 shares of its common stock for conversion of debt of $10,000

 

On November 28, 2016, Chris Tong Tang and Zhao Hui Ma returned the 130,000 shares to the Company’s treasury for cancellation (Note 6).

During the year ended June 30, 2017, the Company purchased back 12,000 shares at $1.712 (C$2.50) per share and 770 shares at $3.42 (C$5.00).

 

F-16

As at June 30, 2018 and 2017, 15,579,749 and 299,400 shares of common stock were issued and outstanding, respectively.

As at June 30, 2018 and 2017, there were no warrants or options outstanding.

NOTE 10 – INCOME TAXES

The Company follows ASC 740. Deferred income taxes reflect the net effect of (a) temporary difference between carrying amounts of assets and liabilities for financial purposes and the amounts used for income tax reporting purposes, and (b) net operating loss carry-forwards. No net provision for refundable Federal income tax has been made in the accompanying statement of loss because no recoverable taxes were paid previously. Similarly, no deferred tax asset attributable to the net operating loss carry-forward has been recognized, as it is not deemed likely to be realized.

On December 22, 2017, the United States enacted the Tax Cuts and Jobs Act (the “Act”) resulting in significant modifications to existing law. The Company has completed the accounting for the effects of the Act during the year ended June 30, 2018. The Company’s financial statements for the year ended June 30, 2018 reflect certain effects of the Act which includes a reduction in the corporate tax rate from 34% to 21% as well as other changes.

The provision for refundable federal income tax at 21% consists of the following for the periods ending:

	June 30,			June 30,
	2018			2017
Federal income tax benefit attributed to:
Net operating loss	$	25,237		$	18,402
Valuation		(25,237	)		(18,402	)
Net benefit	$	-		$	-

The cumulative tax effect at the expected rate of 21% of significant items comprising our net deferred tax amount is as follows:

	June 30,			June 30,
	2018			2017
Deferred tax attributed:
Net operating loss carryover	$	142,643		$	117,406
Effect of change in the statutory rate		(56,685	)		-
Less: change in valuation allowance		(85,958	)		(117,406	)
Net deferred tax asset		-			-

The Corporation has $409,324 (2017 - $289,149) of loss carry forwards in the United States that begin to expire in 2033. No tax benefits have been recognized in these consolidated financial statements as the criteria for recognition has not been met.

NOTE 11 – SUBSEQUENT EVENT

On July 5, 2018, the Company issued convertible notes of $60,000 with a conversion price pf $0.01 to extinguish amounts due to related parties of $146,975 (C$191,000). The convertible notes are unsecured, bears interest at 30% per annum, has no maturity date and due on demand.

F-17

Item 9. Changes in and Disagreements With Accountants on Accounting and Financial Disclosure

There were no disagreements related to accounting principles or practices, financial statement disclosure, internal controls or auditing scope or procedure during the two fiscal years and interim periods.

Item 9A. Controls and Procedures

Evaluation of Effectiveness of Disclosure Controls and Procedures

Under the supervision and with the participation of our management, including our Chief Executive Officer and Chief Financial Officer, we conducted an evaluation of the effectiveness of the design and operation of our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act). Based on this evaluation, our Chief Executive Officer and Chief Financial Officer, as of June 30, 2018, concluded that our disclosure controls and procedures (as defined in Rules 13a-15(e) and 15d-15(e) under the Exchange Act) are not effective to ensure that information required to be disclosed by us in reports that we file or submit under the Exchange Act was recorded, processed, summarized, and reported within the time periods specified in SEC rules and forms, and that such information is accumulated and communicated to our management, including our Chief Executive Officer and Chief Financial Officer, as appropriate, to allow timely decisions regarding required disclosure for the reasons noted below.

Management's Report on Internal Control Over Financial Reporting

Our management is also responsible for establishing and maintaining adequate internal control over financial reporting, as defined in Rule 13a-15(f) under the Exchange Act.  Our company's internal control over financial reporting is designed to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles.

Our internal control over financial reporting includes those policies and procedures that;

Pertain to the maintenance of records that, in reasonable detail, accurately and fairly reflect the transactions and dispositions of the assets of our company; and

Provide reasonable assurance that transactions are recorded as necessary to permit preparation of financial statements in accordance with generally accepted accounting principles, and

That our receipts and expenditures are being made only in accordance with authorizations of our company's management and directors; and

Provide reasonable assurance regarding prevention or timely detection of unauthorized acquisition, use or disposition of our assets that could have a material effect on the financial statements.

As of June 30, 2018, management conducted an evaluation of the effectiveness of internal control over financial reporting based on criteria established in Internal Control - Integrated Framework (2013) issued by the Committee of Sponsoring Organizations of the Treadway Commission.  Based on this evaluation, management concluded that our internal control over financial reporting for that period was not effective.

Management has identified the following material weaknesses and is taking action to remedy and remove the weakness in its internal controls over financial reporting:

· Lack of an independent board of directors, including an independent financial expert. The current board of directors is evaluating expanding the board of directors to include additional independent directors.

· Lack of segregation of duties and adequate documentation of our internal controls.

· The inability of our company to prepare and file its financial statements timely due to its limited financial and personnel resources.

· Lack of multiple levels of review in our company’s financial reporting process.

 

11

Changes in internal control over financial reporting 

There were no changes in our internal control over financial reporting identified by management’s evaluation pursuant to Rules 13a-15(d) or 15d-15(d) of the Exchange Act during the most recent fiscal quarter that materially affected, or are reasonably likely to materially affect, our internal control over financial reporting.

Limitations on the Effectiveness of Controls

Our management, including our Chief Executive Officer and Chief Financial Officer, does not expect that our disclosure controls and procedures or our internal controls will prevent all error and all fraud. A control system, no matter how well conceived and operated, can provide only reasonable, not absolute, assurance that the objectives of the control system are met. Further, the design of a control system must reflect the fact that there are resource constraints, and the benefits of controls must be considered relative to their costs. Because of the inherent limitations in all control systems, no evaluation of controls can provide absolute assurance that all control issues, misstatements, errors, and instances of fraud, if any, within our company have been or will be prevented or detected. These inherent limitations include the realities that judgments in decision making can be faulty, and that breakdowns can occur because of a simple error or mistake. Additionally, controls can be circumvented by the individual acts of some persons, by collusion of two or more people, or by management or Board override of the control.

The design of any system of controls also is based in part upon certain assumptions about the likelihood of future events, and there can be no assurance that any design will succeed in achieving its stated goals under all potential future conditions; over time, controls may become inadequate because of changes in conditions, or the degree of compliance with the policies or procedures may deteriorate. Because of the inherent limitations in a cost-effective control system, misstatements due to error or fraud may occur and not be detected.

This annual report does not include a standard internal control report by our company’s registered public accounting firm regarding internal control over financial reporting.  Management’s report was not subject to attestation by our company’s registered public accounting firm pursuant to current rules of the SEC that permit our company, as a smaller reporting company, to provide only management’s report in this annual report.

Item 9B. Other Information

On January 11, 2018 we entered into a Patent Purchase and License Agreement with Lily Innovation Advisors Ltd. Pursuant to the terms of the agreement, Lily Innovation agreed to assign to our company all of its right, title and interest in a Patent for an Automated Cryogenic Skin Treatment. As consideration for the Patent, we have paid to Lily Innovation $10,000 and have agreed to pay an ongoing royalty through December 31, 2036 of one percent (1%) of net sales of all products sold by our company that are derived from the invention covered by the Patent.

A Notice of Recordation of Assignment Document was filed in the Units States Patent and Trademark Office on January 31, 2018 for the transfer of the Patent.

On February 19, 2018 we entered into a Patent Purchase and License Agreement with Ramot at Tel-Aviv University Ltd. Pursuant to the terms of the agreement, Ramot agreed to assign to our company all of its right, title and interest in a Patent for the method and system for automatic classification and quantitative evaluation of Adnexal Masses based on a cross-sectional or projectional images of Adnex. As consideration for the Patent, we have paid to Ramot $10,000 and have agreed to pay an ongoing royalty through December 31, 2018 of one percent (1%) of the net sales of all products sold by our company that are derived from the invention covered by the Patent.

A Notice of Recordation of Assignment Document was filed in the Units States Patent and Trademark Office on March 5, 2018 for the transfer of the Patent.

On April 1, 2018, we issued a convertible promissory note of $10,000 to a non-related party. The convertible note is unsecured, bears interest at 45% per annum, is due on demand and is convertible at $0.01 per share.

On April 1, 2018, we issued a convertible promissory note of $10,000 to a non-related party. The convertible note is unsecured, bears interest at 45% per annum, is due on demand and is convertible at $0.01 per share.

On June 30, 2018, we issued a convertible promissory note of $28,376.19 to a non-related party. The convertible note is unsecured, bears interest at 30% per annum, is due on demand and is convertible at $0.01 per share.

12

PART III

Item 10. Directors, Executive Officers and Corporate Governance

All directors of our company hold office until the next annual meeting of the security holders or until their successors have been elected and qualified. The officers of our company are appointed by our board of directors and hold office until their death, resignation or removal from office. Our directors and executive officers, their ages, positions held, and duration as such, are as follows:

Name	Position Held with the Company	Age	Date First Elected or Appointed
Liao Zu Guo	Chief Executive Officer, Chief Financial Officer and director.	32	November 16, 2016

Business Experience

The following is a brief account of the education and business experience during at least the past five years of each director, executive officer and key employee of our company, indicating the person’s principal occupation during that period, and the name and principal business of the organization in which such occupation and employment were carried out.

Liao Zu Guo - Chief Executive Officer, Chief Financial Officer and Director

Liao Zu Guo has acted as a director of the Company since November 16, 2016.  Mr. Liao Zu Guo received a Bachelor’s degree in accountancy from Guangxi University in 2006, and a Master’s degree in Business Administration from Guangxi Normal University in 2008.  From May 2006 to June 2008, he served as an accounting assistant for Guangxi Guiguan Electric Power Co. Ltd. while getting his Master’s in Business Administration degree.  From July 2008 to October 2011, he served as a Senior Accountant for Nanning Yihua Trading Co., Ltd. where he conducted audits and engaged in financial management.  From December 2011 to April 2014, Mr. Liao served as Finance Controller for Wuzhou Stars Gem Co., Ltd. where he was responsible for supervising financial reporting, corporate finance and investor relations.  From April 2014 to Present, he served as Finance Controller for Guangzhou Mingzhi Accounting and Tax Consultation Company Limited, where he worked with internal and external teams to update procedures and policies and develop new tools to support functions across offices.

Our company believes that Mr. Guo's professional background experience gives him the qualifications and skills necessary to serve as a director and officer of our company.

Term of Office

Our directors are appointed for a one-year term to hold office until the next annual general meeting of our stockholders or until removed from office in accordance with our bylaws. Our officers are appointed by our board of directors and hold office until removed by the board. 

 

13

All officers and directors listed above will remain in office until the next annual meeting of our stockholders, and until their successors have been duly elected and qualified. There are no agreements with respect to the election of Directors. We have not compensated our Directors for service on our Board of Directors, any committee thereof, or reimbursed for expenses incurred for attendance at meetings of our Board of Directors and/or any committee of our Board of Directors. Officers are appointed annually by our Board of Directors and each Executive Officer serves at the discretion of our Board of Directors. We do not have any standing committees. Our Board of Directors may in the future determine to pay Directors’ fees and reimburse Directors for expenses related to their activities.

Employment Agreements

We have no formal employment agreements with any of our directors or officers.

Family Relationships

There are no family relationships between any of our directors, executive officers and proposed directors or executive officers.

Involvement in Certain Legal Proceedings

To the best of our knowledge, none of our directors or executive officers has, during the past ten years:

1.	been convicted in a criminal proceeding or been subject to a pending criminal proceeding (excluding traffic violations and other minor offences);
2.	had any bankruptcy petition filed by or against the business or property of the person, or of any partnership, corporation or business association of which he was a general partner or executive officer, either at the time of the bankruptcy filing or within two years prior to that time;
3.	been subject to any order, judgment, or decree, not subsequently reversed, suspended or vacated, of any court of competent jurisdiction or federal or state authority, permanently or temporarily enjoining, barring, suspending or otherwise limiting, his involvement in any type of business, securities, futures, commodities, investment, banking, savings and loan, or insurance activities, or to be associated with persons engaged in any such activity;
4.	been found by a court of competent jurisdiction in a civil action or by the SEC or the Commodity Futures Trading Commission to have violated a federal or state securities or commodities law, and the judgment has not been reversed, suspended, or vacated;
5.	been the subject of, or a party to, any federal or state judicial or administrative order, judgment, decree, or finding, not subsequently reversed, suspended or vacated (not including any settlement of a civil proceeding among private litigants), relating to an alleged violation of any federal or state securities or commodities law or regulation, any law or regulation respecting financial institutions or insurance companies including, but not limited to, a temporary or permanent injunction, order of disgorgement or restitution, civil money penalty or temporary or permanent cease-and-desist order, or removal or prohibition order, or any law or regulation prohibiting mail or wire fraud or fraud in connection with any business entity; or
6.	been the subject of, or a party to, any sanction or order, not subsequently reversed, suspended or vacated, of any self-regulatory organization (as defined in Section 3(a)(26) of the Exchange Act (15 U.S.C. 78c(a)(26)), any registered entity (as defined in Section 1(a)(29) of the Commodity Exchange Act (7 U.S.C. 1(a)(29)), or any equivalent exchange, association, entity or organization that has disciplinary authority over its members or persons associated with a member.

14

Compliance with Section 16(A) of the Securities Exchange Act of 1934

Our common stock is not registered pursuant to Section 12 of the Securities Exchange Act of 1934, as amended (the "Exchange Act"). Accordingly, our executive officers and directors and persons who own more than 10% of a registered class of our equity securities are not subject to the beneficial ownership reporting requirements of Section 16(1) of the Exchange Act.

Code of Ethics

We have not adopted a Code of Business Conduct and Ethics.

Board and Committee Meetings

Our board of directors held no formal meetings during the year ended June 30, 2018. All proceedings of the board of directors were conducted by resolutions consented to in writing by all the directors and filed with the minutes of the proceedings of the directors. Such resolutions consented to in writing by the directors entitled to vote on that resolution at a meeting of the directors are, according to the Florida Business Corporation Act and our Bylaws, as valid and effective as if they had been passed at a meeting of the directors duly called and held.

Nomination Process

As of June 30, 2018, we did not effect any material changes to the procedures by which our shareholders may recommend nominees to our board of directors. Our board of directors does not have a policy with regards to the consideration of any director candidates recommended by our shareholders. Our board of directors has determined that it is in the best position to evaluate our company’s requirements as well as the qualifications of each candidate when the board considers a nominee for a position on our board of directors. If shareholders wish to recommend candidates directly to our board, they may do so by sending communications to the president of our company at the address on the cover of this annual report.

Audit Committee

Currently our audit committee consists of our entire board of directors. We do not have a standing audit committee as we currently have limited working capital and minimal revenues.  Should we be able to raise sufficient funding to execute our business plan, we will form an audit, compensation committee and other applicable committees utilizing our directors’ expertise.

Audit Committee Financial Expert

Currently our audit committee consists of our entire board of directors. We do not currently have a director who is qualified to act as the head of the audit committee.

Item 11. Executive Compensation

The particulars of the compensation paid to the following persons:

(a)	our principal executive officer;
(b)	each of our two most highly compensated executive officers who were serving as executive officers at the end of the years ended June 30, 2018 and 2017; and
(c)	up to two additional individuals for whom disclosure would have been provided under (b) but for the fact that the individual was not serving as our executive officer at the end of the years ended June 30, 2018 and 2017, who we will collectively refer to as the named executive officers of our company, are set out in the following summary compensation table, except that no disclosure is provided for any named executive officer, other than our principal executive officers, whose total compensation did not exceed $100,000 for the respective fiscal year:

SUMMARY COMPENSATION TABLE
Name and Principal Position	Year		Salary ($)	Bonus ($)		Stock Awards ($)		Option Awards ($)		Non-Equity Incentive Plan Compensa-tion ($)		Change in Pension Value and Nonqualified Deferred Compensa-tion Earnings ($)		All Other Compensa-tion ($)		Total ($)
Liao Zu Guo(1) CEO,		2018	65,000		-		-		-		-		-		-	65,000
CFO and Director		2017	-		-		-		-		-		-		-	-

(1) Mr. Guo was appointed Chief Executive Officer, Chief Financial Officer, Chief Operating Officer and Director on November 16, 2016.

There are no arrangements or plans in which we provide pension, retirement or similar benefits for directors or executive officers. Our directors and executive officers may receive share options at the discretion of our board of directors in the future. We do not have any material bonus or profit sharing plans pursuant to which cash or non-cash compensation is or may be paid to our directors or executive officers, except that share options may be granted at the discretion of our board of directors.

Grants of Plan-Based Awards

During the fiscal year ended June 30, 2018 we did not grant any stock options.

Option Exercises and Stock Vested

During our fiscal year ended June 30, 2018 there were no options exercised by our named officers.

Compensation of Directors

We do not have any agreements for compensating our directors for their services in their capacity as directors, although such directors are expected in the future to receive stock options to purchase shares of our common stock as awarded by our board of directors.

No compensation was paid to non-employee directors for the year ended June 30, 2018.

Pension, Retirement or Similar Benefit Plans

There are no arrangements or plans in which we provide pension, retirement or similar benefits for directors or executive officers. We have no material bonus or profit sharing plans pursuant to which cash or non-cash compensation is or may be paid to our directors or executive officers, except that stock options may be granted at the discretion of the board of directors or a committee thereof.

 

15

Indebtedness of Directors, Senior Officers, Executive Officers and Other Management

None of our directors or executive officers or any associate or affiliate of our company during the last two fiscal years, is or has been indebted to our company by way of guarantee, support agreement, letter of credit or other similar agreement or understanding currently outstanding.

Item 12. Security Ownership of Certain Beneficial Owners and Management and Related Stockholder Matters

The following table sets forth, as of October 11, 2018, certain information with respect to the beneficial ownership of our common and preferred shares by each shareholder known by us to be the beneficial owner of more than 5% of our common and preferred shares, as well as by each of our current directors and executive officers as a group. Each person has sole voting and investment power with respect to the shares of common and preferred stock, except as otherwise indicated. Beneficial ownership consists of a direct interest in the shares of common and preferred stock, except as otherwise indicated.

Name and Address of Beneficial Owner	Amount and Nature of Beneficial Ownership		Percentage of Class(1)
Liao Zu Guo 3651 Lindell Road, Suite D1141 Las Vegas, NV 89103		13,080,000		83.955	%
Directors and Executive Officers as a Group		13,080,000		83.955	%
Chang Sheng Mao Gan Yuan Road East 14 Hao Yi Xiang, Ling Cheng Town Lingshan County, Guangxi Guangxi, China		780,000		5.006	%
Greater than 5% Shareholders as a Group		780,000		5.006	%

_________________

(1) Under Rule 13d-3, a beneficial owner of a security includes any person who, directly or indirectly, through any contract, arrangement, understanding, relationship, or otherwise has or shares: (i) voting power, which includes the power to vote, or to direct the voting of shares; and (ii) investment power, which includes the power to dispose or direct the disposition of shares. Certain shares may be deemed to be beneficially owned by more than one person (if, for example, persons share the power to vote or the power to dispose of the shares). In addition, shares are deemed to be beneficially owned by a person if the person has the right to acquire the shares (for example, upon exercise of an option) within 60 days of the date as of which the information is provided. In computing the percentage ownership of any person, the amount of shares outstanding is deemed to include the amount of shares beneficially owned by such person (and only such person) by reason of these acquisition rights. As a result, the percentage of outstanding shares of any person as shown in this table does not necessarily reflect the person’s actual ownership or voting power with respect to the number of shares of common stock actually outstanding on October 11, 2018. As of October 11, 2018 there were 15,579,749 shares of our company’s common stock issued and outstanding.

Changes in Control

We are unaware of any contract or other arrangement or provisions of our Articles or Bylaws the operation of which may at a subsequent date result in a change of control of our company. There are not any provisions in our Articles or Bylaws, the operation of which would delay, defer, or prevent a change in control of our company.

 

16

Item 13. Certain Relationships and Related Transactions, and Director Independence

Except as disclosed herein, no director, executive officer, shareholder holding at least 5% of shares of our common stock, or any family member thereof, had any material interest, direct or indirect, in any transaction, or proposed transaction since the year ended June 30, 2018, in which the amount involved in the transaction exceeded or exceeds the lesser of $120,000 or one percent of the average of our total assets at the year-end for the last three completed fiscal years.

Director Independence

We currently act with one director, Liao Zu Guo.

We have determined we do not have an independent director, as that term is used in Rule 4200(a)(15) of the Rules of National Association of Securities Dealers.

Currently our audit committee consists of our entire board of directors. We currently do not have nominating, compensation committees or committees performing similar functions. There has not been any defined policy or procedure requirements for shareholders to submit recommendations or nomination for directors.

From inception to present date, we believe that the members of our audit committee and the board of directors have been and are collectively capable of analyzing and evaluating our financial statements and understanding internal controls and procedures for financial reporting.

Item 14. Principal Accounting Fees and Services

The aggregate fees billed for the most recently completed fiscal year ended June 30, 2018 and for fiscal year ended June 30, 2017 for professional services rendered by the principal accountant for the audit of our annual financial statements and review of the financial statements included in our quarterly reports on Form 10-Q and services that are normally provided by the accountant in connection with statutory and regulatory filings or engagements for these fiscal periods were as follows:

	Year Ended
	June 30, 2018		June 30, 2017
Audit Fees	$	23,548	$	30,406
Audit Related Fees	Nil		Nil
Tax Fees	Nil		Nil
All Other Fees	Nil		Nil
Total	$	23,548	$	30,406

Our board of directors pre-approves all services provided by our independent auditors. All of the above services and fees were reviewed and approved by the board of directors either before or after the respective services were rendered.

Our board of directors has considered the nature and amount of fees billed by our independent auditors and believes that the provision of services for activities unrelated to the audit is compatible with maintaining our independent auditors’ independence.

 

17

PART IV

Item 15. Exhibits, Financial Statement Schedules

(a) Financial Statements

(1)	Financial statements for our company are listed in the index under Item 8 of this document.
(2)	All financial statement schedules are omitted because they are not applicable, not material or the required information is shown in the financial statements or notes thereto.

(b) Exhibits

Exhibit Number	Description
(10)	Material Contracts
10.1*	Patent Purchase and License Agreement between our company and Lily Innovation Advisors Ltd., dated January 11, 2018
10.2*	Patent Purchase and License Agreement between our company and Ramot at Tel-Aviv University Ltd., dated February 19, 2018
(31)	Rule 13a-14 (d)/15d-14d) Certifications
31.1*	Section 302 Certification by the Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer
(32)	Section 1350 Certifications
32.1**	Section 906 Certification by the Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer
101**	Interactive Data File
101.INS	XBRL Instance Document
101.SCH	XBRL Taxonomy Extension Schema Document
101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
101.DEF	XBRL Taxonomy Extension Definition Linkbase Document
101.LAB	XBRL Taxonomy Extension Label Linkbase Document
101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document

* Filed herewith. ** Furnished herewith

18

SIGNATURES

Pursuant to the requirements of Section 13 or 15(d) of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned, thereto duly authorized.

	BIONOVATE TECHNOLOGIES CORP.
	(Registrant)
Dated: October 24, 2018
	/s/  Liao Zu Guo
	Liao Zu Guo
	Chief Executive Officer, Chief Financial Officer and Director
	(Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)

Pursuant to the requirements of the Securities Exchange Act of 1934, this report has been signed below by the following persons on behalf of the registrant and in the capacities and on the dates indicated.

Dated: October 24, 2018	/s/  Liao Zu Guo
	Liao Zu Guo
	Chief Executive Officer, Chief Financial Officer and Director
	(Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)

19

EX-31.1

EXHIBIT 31.1

CERTIFICATION PURSUANT TO

18 U.S.C. ss 1350, AS ADOPTED PURSUANT TO

SECTION 302 OF THE SARBANES-OXLEY ACT OF 2002

I, Liao Zu Guo, certify that:

1.	I have reviewed this annual report on Form 10-K of Bionovate Technologies Corp.;
2.	Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;
3.	Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;
4.	The registrant's other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

(a)	Designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;
(b)	Designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;
(c)	Evaluated the effectiveness of the registrant's disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation; and
(d)	Disclosed in this report any change in the registrant's internal control over financial reporting that occurred during the registrant's most recent fiscal quarter (the registrant's fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant's internal control over financial reporting; and

5. The registrant's other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant's auditors and the audit committee of the registrant's board of directors (or persons performing the equivalent functions):

(a)	All significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant's ability to record, process, summarize and report financial information; and
(b)	Any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant's internal control over financial reporting.

Dated: October 24, 2018	/s/ Liao Zu Guo
	Liao Zu Guo
	Chief Executive Officer, Chief Financial Officer and Director
	(Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)

EX-32.1

EXHIBIT 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350, AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

I, Liao Zu Guo, hereby certify, pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that:

(1)	the Annual Report on Form 10-K of Bionovate Technologies Corp. for the period ended June 30, 2018 (the "Report") fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and
(2)	the information contained in the Report fairly presents, in all material respects, the financial condition and results of operations of Bionovate Technologies Corp.

Dated: October 24, 2018	/s/ Liao Zu Guo
	Liao Zu Guo
	Chief Executive Officer, Chief Financial Officer and Director
	(Principal Executive Officer, Principal Financial Officer and Principal Accounting Officer)
	Bionovate Technologies Corp.

A signed original of this written statement required by Section 906, or other document authenticating, acknowledging, or otherwise adopting the signature that appears in typed form within the electronic version of this written statement required by Section 906, has been provided to Bionovate Technologies Corp. and will be retained by Bionovate Technologies Corp. and furnished to the Securities and Exchange Commission or its staff upon request.

XML

Document and Entity Information - USD ($)	12 Months Ended
	Jun. 30, 2018	Oct. 11, 2018	Dec. 31, 2017
Document And Entity Information
Entity Registrant Name	BIONOVATE TECHNOLOGIES CORP.
Entity Central Index Key	0001575420
Trading Symbol	biio
Document Period End Date	Jun. 30, 2018
Current Fiscal Year End Date	--06-30
Document Type	10-K
Amendment Flag	false
Is Entity a Well-known Seasoned Issuer?	No
Is Entity a Voluntary Filer?	No
Is Entity's Reporting Status Current?	No
Entity Emerging Growth Company	true
Entity Small Business	true
Enitity Shell Company	false
Entity Ex Transition Period	false
Entity Common Stock, Shares Outstanding		15,579,749
Entity Public Float			$ 228,673
Document Fiscal Period Focus	FY
Document Fiscal Year Focus	2018
Entity Filer Category	Non-accelerated Filer

XML

BALANCE SHEETS - USD ($)	Jun. 30, 2018	Jun. 30, 2017
Current Assets
Cash
Total Current Assets
TOTAL ASSETS
Current Liabilities
Accounts payable and accrued liabilities	40,506	38,744
Due to related parties	186,281	147,185
Convertible notes payable	82,895	43,219
Total Current Liabilities	309,682	229,148
TOTAL LIABILITIES	309,682	229,148
Stockholders' Deficit
Preferred stock: 90,000,000 authorized; $0.0001 par value - no shares issued and outstanding
Common stock: 100,000,000 authorized; $0.0001 par value 15,579,749 and 299,400 shares issued and outstanding, respectively	1,558	30
Additional paid in capital	2,056,059	383,372
Accumulated other comprehensive income		14,013
Accumulated deficit	(2,367,299)	(626,563)
Total Deficit	(309,682)	(229,148)
TOTAL LIABILITIES AND STOCKHOLDERS' DEFICIT

XML

BALANCE SHEETS (Parenthetical) - $ / shares	Jun. 30, 2018	Jun. 30, 2017
Stockholders' Deficit
Common stock, shares authorized	100,000,000	100,000,000
Common stock, par value	$ 0.0001	$ 0.0001
Common stock, shares issued	15,579,749	299,400
Common stock, shares outstanding	15,579,749	299,400
Preferred stock, shares authorized	90,000,000	90,000,000
Preferred stock, par value	$ 0.0001	$ 0.0001
Preferred stock, shares issued	0	0
Preferred stock, shares outstanding	0	0

XML

STATEMENT OF OPERATIONS - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Statement Of Operations
Revenues		$ 5,386
Cost of goods sold		4,480
Gross profit		906
Operating Expenses
General and administration	72,536	33,354
Professional	46,341	55,286
Total operating expenses	118,877	88,640
Net loss from operations	(118,877)	(87,734)
Other income (expense)
Realized foreign currency gain	15,012	658
Interest expense	(67,432)	(60,607)
Impairment of intangible assets and goodwill	(20,000)	(226,007)
Gain from disposal of subsidiaries		32,608
Loss on settlement of debt	(1,549,439)
Total other expense	(1,621,859)	(253,348)
Net loss before taxes	(1,740,736)	(341,082)
Discontinued operations
Loss from discontinued operation		(4,488)
Gain from sale of investment		21,359
Gain from Discontinued Operations		16,871
Net loss	(1,740,736)	(324,211)
Net loss attributable to the non-controlling interest		(898)
Net loss attributable to MJP International Ltd.	(1,740,736)	(323,313)
Comprehensive income (loss)	(1,740,736)	(323,313)
Foreign currency adjustment	(14,013)	(1,679)
Comprehensive Loss	$ (1,754,749)	$ (324,992)
Basic and dilutive loss per share
Continuing operations	$ (0.27)	$ (1.14)
Discontinuing operations		0.06
Net loss	$ (0.27)	$ (1.09)
Weighted average number of shares outstanding	6,340,325	298,018

XML

STATEMENT OF STOCKHOLDERS’ EQUITY - USD ($)	Common Stock	Additional Paid-In Capital	Accumulated Other Comprehensive Income	Accumulated Deficit	Noncontrolling Interest	Total
Beginning balance, Shares at Jun. 30, 2016	322,170
Beginning balance, Amount at Jun. 30, 2016	$ 32	$ 113,774	$ 15,692	$ (280,133)		$ (150,635)
Share issuance per assets acquisition, Shares	80,000
Share issuance per assets acquisition, Amount	$ 8	199,992				200,000
Share repurchase, Shares	(130,000)
Share repurchase, Amount	$ (13)	(637)				(650)
Share repurchase, shares	(12,770)
Share repurchase, Amount	$ (1)	(63)		(23,117)		(23,181)
Common stock issued from conversion of debt, Shares	40,000
Common stock issued from conversion of debt, Amount	$ 4	9,996				10,000
Debt forgiveness		4,461				4,461
Non-controlling interest					(2,678)	(2,678)
Deconsolidation					3,576	3,576
Beneficial conversion feature		55,849				55,849
Foreign currency translation			(1,679)			(1,679)
Net loss				(323,313)	(898)	(324,211)
Ending balance, Shares at Jun. 30, 2017	299,400
Ending balance, Amount at Jun. 30, 2017	$ 30	383,372	14,013	(626,563)		(229,148)
Beginning balance, Amount at Jun. 30, 2017	$ 30	383,372	14,013	(626,563)		$ (229,148)
Common stock issued from conversion of debt, Shares	2,280,000					2,280,000
Common stock issued from conversion of debt, Amount	$ 228	11,172				$ 11,400
Debt forgiveness
Beneficial conversion feature		48,376				28,376
Foreign currency translation			(14,013)			(14,013)
Common stock issued for settlement of debt, Shares	13,000,000
Common stock issued for settlement of debt, Amount	$ 1,300	1,613,139				1,614,439
Adjustment to common stock, Shares	349
Adjustment to common stock, Amount
Net loss				(1,740,736)		(1,740,736)
Ending balance, Shares at Jun. 30, 2018	15,579,749
Ending balance, Amount at Jun. 30, 2018	$ 1,558	$ 2,056,059		$ (2,367,299)		$ (309,682)

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STATEMENT OF CASH FLOWS - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss from continued operations	$ (1,740,736)	$ (341,082)
Loss from discontinued operation		(4,488)
Gain from sale of investment		21,359
Net loss	(1,740,736)	(324,211)
Adjustments to reconcile net loss to net cash provided by (used in) operating activities:
Expenses paid by convertible notes	28,376	9,969
Impairment of intangible assets and goodwill	20,000	226,007
Gain from disposal of subsidiaries		(32,608)
Amortization of debt discount	51,122	53,151
Loss on settlement of debt	1,549,439
Foreign currency adjustment	(15,012)
Changes in operating assets and liabilities:
Accounts payable and accrued liabilities	41,811	10,131
Accrued salary	65,000
Due to related parties		73,159
Net cash provided by continuing operating activities		15,598
Net cash used in discontinuing operating activities		(4,994)
Net cash provided by operating activities		10,604
CASH FLOWS FROM INVESTING ACTIVITIES:
Cash from acquisition		3,754
Disposal of subsidiaries		(1,406)
Net cash provided by continuing investing activities		2,348
Net cash provided by discontinuing investing activities		4,716
Net cash provided by investing activities		7,064
CASH FLOWS FROM FINANCING ACTIVITIES:
Loan payable		5,593
Common stock repurchases		(23,181)
Net cash used in financing activities		(17,588)
Effect of exchange rate changes on cash		(1,016)
Net change in cash and cash equivalents		(936)
Cash and cash equivalents, beginning of period		936
Cash and cash equivalents, end of period
Supplemental cash flow information
Cash paid for interest
Cash paid for taxes
Non-cash transactions:
80,000 shares issued due to assets acquisition		200,000
130,000 shares cancelled due to disposal of subsidy		650
Net assets acquired from Energy Alliance		84,000
Net liabilities acquired from Energy Alliance		(19,290)
Net assets acquired from HEAL		4,498
Net liabilities acquired from HEAL		(15,215)
Convertible note exchanged for due to related parties		27,641
Beneficial conversion feature	28,376	55,849
Common stock issued for conversion of debt	11,400	10,000
Debt forgiveness		4,461
Accounts payable paid by related party	41,025
Common stock issued for settlement of debt	1,614,439
Convertible notes issued for purchase of patents	$ 20,000

XML

NATURE AND CONTINUANCE OF OPERATIONS

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 1 - NATURE AND CONTINUANCE OF OPERATIONS

Bionovate Technologies Corp. (the “Company”, or the “Corporation”) was incorporated in the state of Nevada, United States on October 24, 2012 under the name MJP International Ltd. On December 1, 2017, the Company’s corporate name was changed to Bionovate Technologies Corp.

The Corporation was formed and organized to capitalize on new opportunities found in the North American market for light-emitting diode (“LED”) lighting. With China as the manufacturing backbone of future LED products, the Corporation has set up an office in Guangzhou, China in search of high-quality products offered by reputable manufacturers to be introduced to Canada, the United States, and abroad. The Corporation has set out further details of the acquisition below as well as in Notes 3 and 4 to these consolidated financial statements.

On February 5, 2016, Energy Alliance Labs Inc. (“Energy Alliance”), incorporated on February 5, 2016, entered into an agreement to acquire 80% of the issued and outstanding equity interests of Human Energy Alliance Laboratories Corp., an Idaho corporation (“HEAL”) from certain shareholders of HEAL for $80,000. The cash for the acquisition of shares was transferred to the shareholders on November 1, 2016 and that is when the acquisition closed. Subsequent to the transfer of cash, the previous shareholders of the Company owned 80% of the issued and outstanding shares of HEAL.

On October 28, 2016, the Company entered into a Share Exchange Agreement (the “Share Exchange Agreement”) with Liao Zu Guo, an individual residing in China, whereby the Company issued 80,000 shares of its common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance. Subsequent to the execution of the Share Exchange Agreement, Liao Zu Gao became a member of the Board of Directors of the Company.

On January 1, 2017, the Company entered into transfer agreement with Liao Zu Guo, whereby the Company transferred 100% of issued and outstanding equity interests of Energy Alliance for $20,000 for past services provided by Executive to the Company and agreed to assume the debt of Energy Alliance owed to the Liao Zu Guo in the aggregate amount of $28,239.

On December 1, 2017, a majority of stockholders and the board of directors approved a reverse stock split of the issued and outstanding shares of common stock on a fifty (50) old for one (1) new basis. A Certificate of Amendment was filed with the Nevada Secretary of State on December 11, 2017 with an effective date of December 21, 2017. All share and per share information in these financial statements retroactively reflect this stock distribution.

Our executive offices are located at 3006 E. Goldstone Drive, Suite 218, Meridian, ID 83642. Our telephone number is (208) 231 – 1606.

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GOING CONCERN

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 2 - GOING CONCERN

The accompanying financial statements have been prepared in conformity with accounting principles generally accepted in the United States of America, which contemplate continuation of the Company as a going concern. However, the Company has an accumulated deficit at June 30, 2018 of $2,367,299, is in a net liability position and needs cash to maintain its operations.

These factors raise substantial doubt about the Company’s ability to continue as a going concern. The accompanying financial statements do not include any adjustments that might result from the outcome of this uncertainty. The Company’s continued existence is dependent upon management’s ability to develop profitable operations, continued contributions from the Company’s executive officers to finance its operations and the ability to obtain additional funding sources to explore potential strategic relationships and to provide capital and other resources for the further development and marketing of the Company’s products and business.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 3 - SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES

Basis of Presentation

The Corporation’s financial statements included herein are prepared under the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America.

Principles of Consolidation

These financial statements include the Corporation’s wholly owned subsidiaries MJP Lighting Solutions Ltd., MJP Holdings Ltd. and Energy Alliance Lab Inc., and Human Energy Alliance Laboratories Corp., which is 80% owned by Energy Alliance. All subsidiaries were disposed during the year ended June 30, 2018. All inter-company accounts and transactions before the Company disposed of these subsidiaries have been eliminated.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Business Combination

In our accounting for business combinations, judgment is required in determining whether an intangible asset is identifiable, and should be recorded separately from goodwill. Additionally, estimating the acquisition date fair values of the identifiable assets acquired and liabilities assumed involves considerable management judgment. The necessary measurements are based on information available on the acquisition date and are based on expectations and assumptions that have been deemed reasonable by management. These judgments, estimates, and assumptions can materially affect our financial position and profit for several reasons, including the following:

· Subsequent negative changes in the estimated fair values of assets may result in additional expense from impairment charges.

· Subsequent changes in the estimated fair values of liabilities and provisions may result in additional expense (if increasing the estimated fair value) or additional income (if decreasing the estimated fair value).

Foreign currency translation and functional currency conversion

Prior to July 1, 2017, the Company’s functional currency was the Canadian dollar. Translation gains and losses from the application of the U.S. dollar as the reporting currency during the period that the Canadian dollar was the functional currency are included as part of cumulative currency translation adjustment, which is reported as a component of shareholders’ equity under accumulated other comprehensive loss.

The Company re-assessed its functional currency and determined as at Jul 1, 2017, its functional currency changed from the Canadian dollar to the U.S. dollar based on management’s analysis of changes in our organization. The change in functional currency is accounted for prospectively from July 1, 2017 and financial statements prior to and including the period ended December 31, 2016 have not been restated for the change in functional currency.

For periods commencing July 1, 2017, monetary assets and liabilities denominated in foreign currencies are translated into U.S. dollars using exchange rates in effect at the balance sheet date. Opening balances related to non-monetary assets and liabilities are based on prior period translated amounts, and non-monetary assets and non-monetary liabilities incurred after Jul 1, 2017 are translated at the approximate exchange rate prevailing at the date of the transaction. Revenue and expense transactions are translated at the approximate exchange rate in effect at the time of the transaction. Foreign exchange gains and losses are included in the statement of operations and comprehensive loss as foreign exchange gains.

Cash

For purposes of reporting within the statements of cash flows, the Corporation considers all cash on hand, cash accounts not subject to withdrawal restrictions or penalties, and all highly liquid debt instruments purchased with a maturity of three months or less to be cash and cash equivalents.

Comprehensive Loss

The Corporation adopted FASB ASC 220, “Reporting Comprehensive Income”, which establishes standards for the reporting and display of comprehensive income and its components in the financial statements. Comprehensive income consists of net income and other gains and losses affecting stockholders’ equity that are excluded from net income, such as unrealized gains and losses on investments available for sale, foreign currency translation gains and losses and minimum pension liability. Since inception, the Corporation’s other comprehensive income represents foreign currency translation adjustments.

Basic and Diluted Loss per Common Stock

FASB ASC 260, “Earnings per share” requires dual presentation of basic and diluted earnings per share (EPS) with a reconciliation of the numerator and denominator of the EPS computations. Basic earnings per share amounts are based on the weighted average shares of common stock outstanding. If applicable, diluted earnings per stock would assume the conversion, exercise or issuance of all potential common stock instruments such as options, warrants and convertible securities, unless the effect is to reduce a loss or increase earnings per share. Diluted net income (loss) per common stock on the potential exercise of the equity-based financial instruments is not presented where anti-dilutive.

Fair Value of Financial Instrument

The Corporation follows FASB ASC 820, “Fair Value Measurements and Disclosures”, for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis. This new accounting standard establishes a single definition of fair value and a framework for measuring fair value, sets out a fair value hierarchy to be used to classify the source of information used in fair value measurement and expands disclosures about fair value measurements required under other accounting pronouncements. It does not change existing guidance as to whether or not an instrument is carried at fair value. The Corporation defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Corporation considers the principal or most advantageous market in which the Corporation would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Corporation applies FASB ASC 825, Financial Instruments, which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value. The Corporation has not elected the fair value option for any eligible financial instruments.

Fair Value Measurements

The Corporation follows FASB ASC 820, Fair Value Measurements and Disclosures, for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis. This new accounting standard establishes a single definition of fair value and a framework for measuring fair value, sets out a fair value hierarchy to be used to classify the source of information used in fair value measurement and expands disclosures about fair value measurements required under other accounting pronouncements. It does not change existing guidance as to whether or not an instrument is carried at fair value. The Corporation defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Corporation considers the principal or most advantageous market in which the Corporation would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Corporation has adopted FASB ASC 825, Financial Instruments, which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value. The Corporation has not elected the fair value option for any eligible financial instruments.

Impairment of Long-Lived Assets

Impairment losses on long-lived assets are recognized when events or changes in circumstances indicate that the undiscounted cash flows estimated to be generated by such assets are less than their carrying value and, accordingly, all or a portion of such carrying value may not be recoverable. Impairment losses are then measured by comparing the fair value of assets to their carrying amounts. During the year ended June 30, 2018 and 2017, the Company recognized impairment loss of $20,000 and $226,007, respectively

Revenue Recognition

The Corporation follows FASB ASC 606, “Revenue from Contracts with Customers” for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured.

The Corporation recognizes revenue when persuasive evidence of an arrangement exists, shipment has occurred or services rendered, the price is fixed or determinable and payment is reasonably assured. Customers take ownership at point of sale and bear the costs and risks of delivery.

We currently do not have operations, and its management seeks to acquire cash generating businesses.

Cost of Goods Sold

Cost of goods sold includes the following expenses; inventory and various expenses related to sell the products.

Beneficial Conversion Feature

For conventional convertible debt where the rate of conversion is below market value, the Corporation records a Beneficial Conversion Feature (the “BCF”) and related debt discount.

When the Company records a BCF, the intrinsic value of the BCF is recorded as a debt discount against the face amount of the respective debt instrument (offset to additional paid-in capital) and amortized to interest expense over the life of the debt. 

Income Taxes

The Corporation follows FASB ASC Topic 820, “Income Taxes” which requires the use of the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for future tax consequences attributable to temporary differences between the financial statements carrying amounts of existing assets and liabilities and loss carry forwards and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The tax consequences of most events recognized in the current year’s financial statements are included in determining income taxes currently payable. However, because tax laws and financial accounting standards differ in their recognition and measurement of assets, liabilities, equity, revenues, expenses, gains and losses, differences arise between the amount of taxable income and pre-tax financial income for a year and between the tax bases of assets or liabilities and their reported amounts in the financial statements.

Because the Corporation assumes that the reported amounts of assets and liabilities will be recovered and settled, respectively, a difference between the tax basis of an asset or a liability and its reported amount in the balance sheet will result in a taxable or a deductible amount in some future years when the related liabilities are settled or the reported amounts of the assets are recovered, which gives rise to a deferred tax asset. The Corporation must then assess the likelihood that the deferred tax assets will be recovered from future taxable income and to the extent the Corporation believes that recovery is not likely, the Corporation must establish a valuation allowance.

The Corporation has adopted FASB guidance on accounting for uncertainty in income taxes which provides a financial statement recognition threshold and measurement attribute for a tax position taken or expected to be taken in a tax return. Under this guidance, the Corporation may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The guidance also extends to de-recognition of income tax assets and liabilities, classification of current and deferred income tax assets and liabilities, accounting for interest and penalties associated with tax positions, and income tax disclosures.

Recent Accounting Pronouncements

The Company adopts new pronouncements relating to generally accepted accounting principles applicable to the Company as they are issued, which may be in advance of their effective date. Management does not believe that any recently issued, but not yet effective accounting standards, if currently adopted, would have a material effect on the accompanying financial statements.

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ASSETS ACQUISITION AND BUSINESS COMBINATION

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 4 - ASSETS ACQUISITION AND BUSINESS COMBINATION

On February 5, 2016, Energy Alliance entered into an agreement to acquire 80% of the issued and outstanding equity interests of HEAL from certain shareholders of HEAL for $80,000. The cash for the acquisition of shares was transferred to the shareholders on November 1, 2016 and that is when the acquisition closed. Energy Alliance was formed on February 5, 2016 for the purpose of acquiring HEAL. All of the issued and outstanding shares of Energy Alliance totaling 35,000,000 were owned by Mr. Liao Zu Gao.

On October 28, 2016, the Corporation entered into a Share Exchange Agreement (the “Share Exchange Agreement”) with Liao Zu Guo, an individual residing in China, where the Corporation issued 80,000 shares of its common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance.

Subsequent to the execution of the Share Exchange Agreement, Liao Zu Gao became a member of the Board of Directors of the Company.

Subsequent to the transfer of cash, the previous shareholders of the Corporation own 80% of the issued and outstanding shares of HEAL through its wholly owned subsidiary, Energy Alliance.

The definition of a business under ASC 805-10-55 consists of inputs and processes applied to those inputs that have the ability to create outputs. Although businesses usually have outputs, outputs are not required for an integrated set to qualify as a business. Based on the criteria set out in ASC 805-10-55 the Company determined Energy Alliance, which was formed for the sole purpose of acquiring HEAL, does not constitute a business and accordingly, accounted this acquisition of Energy Alliance as an acquisition of assets.

The acquisition of Energy Alliance was accounted for as follows:

Consideration given up:
Share issued:		80,000
Market price of the Company’s shares on October 28, 2016	$	2.50
Fair value of equity instrument issued	$	200,000
Assets acquired/liabilities assumed:
Total assets	$	84,000
Total liabilities	$	(19,290	)
Recognized intangible assets	$	135,290
Total	$	200,000

The Corporation recognized an intangible asset with an indefinite useful life of $135,290 representing the value of the unexecuted purchase agreement that Energy Alliance holds in HEAL at the time of acquisition by the Company.

The Corporation treated the acquisition of HEAL as business combination.

Consideration given up:	October 28, 2016 $
Cash:		80,000
Allocation of purchases price:
Cash and cash equivalents		3,754
Inventory		1,869
Liabilities assumed:
Accounts payable		(8,300	)
Estimated warranty liabilities		(3,254	)
Advances from Energy Alliance		(4,000	)
Loan payable		(3,464	)
Net assets acquired		(13,395	)
Allocated to non-controlling interest		2,678
Intangible assets and goodwill		90,717

The Corporation recognized goodwill of HEAL of $90,717 and recorded non-controlling interest of ($2,678) which reflects income attributable to the non-controlling interest in HEAL. Goodwill of $90,717 is not deductible for income tax purposes.

The amount of HEAL’s revenue and net loss from operations included in the Corporation’s condensed consolidated interim statements of operations and comprehensive loss for the year ended June 30, 2017 are as follows:

	Year ended
	June 30,
	2017
Revenue	$	1,941
Net loss	$	(11,779	)

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GOODWILL AND INTANGIBLE ASSETS

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 5 - GOODWILL AND INTANGIBLE ASSETS

Intangible assets from the acquisition of Energy Alliance

The Corporation recognized an intangible asset with an indefinite useful life of $135,290 representing the value of the unexecuted purchase agreement that Energy Alliance holds in HEAL at the time of acquisition by the Company.

Consideration given up:
Share issued:		80,000
Market price of the Company’s shares on October 28, 2016	$	2.50
Fair value of equity instrument issued	$	200,000
Assets acquired/liabilities assumed:
Total assets	$	84,000
Total liabilities	$	(19,290	)
Recognized intangible assets	$	135,290
Total	$	200,000

Intangible assets and good from the acquisition of HEAL

The Corporation recognized goodwill of HEAL of $90,717

Consideration given up:	October 28, 2016 $
Cash:		80,000
Allocation of purchases price:
Cash and cash equivalents		3,754
Inventory		1,869
Liabilities assumed:
Accounts payable		(8,300	)
Estimated warranty liabilities		(3,254	)
Advances from Energy Alliance		(4,000	)
Loan payable		(3,464	)
Net assets acquired		(13,395	)
Allocated to non-controlling interest		2,678
Intangible assets and goodwill		90,717

The Corporation follows the GAAP methodology to determine impairment of goodwill and intangible assets.

Step one recoverability test: Impairment must be recognized when the carrying value of the assets exceeds the undiscounted future cash flows from their use and disposal.

Step two Loss measurement: The excess of the carrying amount over the fair value of the assets. If the fair value is not available, the present value of future cash flows discounted at the firm’s incremental borrowing rate should be used.

During the period ended December 31, 2016 management conducted a test for impairment of goodwill and intangible assets. As a result of certain indicators including a substantive decline in revenue year over year representing over 2/3 loss in gross revenues, with no discernable timeframe for recovery, or large recurring customer purchases or customer relationships and as a result of an analysis of future discounted cash flows, management of the Corporation determined to impair intangible assets and goodwill fully as of December 31, 2016.

Patent

During the year ended June 30, 2018, the Company purchased patents for convertible notes of $20,000.

During the period ended June 30, 2018, we determined that the carrying value of patents exceeded its fair value at the measurement date, requiring step two in the impairment test process. The fair value of the patents was determined primarily using an income approach based on the present value of discounted cash flows. We determined the implied fair value of patents was substantially below the carrying value of the reporting unit. Accordingly, we recognized a impairment loss of $20,000, which resulted in patent of $0 as of June 30, 2018.

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DISPOSAL OF SUBSIDIARIES

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 6 - DISPOSAL OF SUBSIDIARIES

The Company disposed of the below subsidiaries in order to focus its efforts on other opportunities. No opportunities have been identified as of June 30, 2017.

On October 4, 2016, the Corporation filed a Certification of Dissolution of MJP Holdings Ltd. Upon the dissolution MJP Holdings Ltd, the Corporation recorded gain on disposal of $33,436(C$44,007).

On November 28, 2016, the Corporation signed a share exchange agreement between the Corporation, MJP Lighting Solution Ltd., and Chris Tong Tang and Zhao Hui Ma whereby all parties agreed to exchange 100% of the issued and outstanding securities of MJP Lighting Solutions Ltd., belonging to the Company, for the return the 130,000 shares, belonging to Chris Tong Tang and Zhao Hui Ma, to the Company’s treasury for cancellation.

As of November 28, 2016, the financial position is below:

MJP Lighting Solution Ltd.
Net Assets	$	1,406
Net Liabilities	$	(3,969	)
Consideration given up:
Reacquisition of stock		(130,000	)
Fair value of reacquired stock	$	(650	)
Gain on disposal	$	3,213

The Corporation has written off and included in gain on disposal the amount of $4,041 due to uncollectable receivables from above subsidiaries.

Cumulative translation adjustment brought into net income upon disposal ($658).

On January 1, 2017, the Company entered into transfer agreement with Liao Zu Guo, whereby the Company transferred 100% of issued and outstanding equity interests of Energy Alliance for consideration of $20,000 and assumption of debt of $28,239 for past services provided by Executive to the Company.

During the year ended June 30, 2017, the Company recorded a gain on the sale of $21,359. The Company has no continuing involvement in the operations of Energy Alliance and its subsidiary HEAL, however Liao Zu Guo continues to hold a position on the board of directors. The sale of Energy Alliance qualified as a discontinued operation of the Company and accordingly, the Company has excluded results of Energy Alliance operations from its Statements of Operations and Comprehensive Income (Loss) to present this business in discontinued operations.

The following table shows the results of operations of Energy Alliance and HEAL for the period ended January 1, 2017 which are included in the loss from discontinued operations:

	January 1,
	2017
Revenue	$	1,987
Cost of goods sold		923
Gross profit		1,064
General & administration		5,352
Professional fees		200
Operating loss		(4,488	)
Gain from sale of Energy Alliance		21,359
Gain from discontinued operations	$	16,871

The following table shows the carrying amounts of the major classes of assets and liabilities associated with Energy Alliance and its subsidiary HEAL as of the January 1, 2017.

	January 1,
	2017
Cash	$	15,284
Inventory		1,010
Accounts payable		(6,771	)
Credit card		(2,549	)
Due to related party		(28,239	)
Loan payable		(9,057	)
Estimated warranty liabilities		(2,852	)
Net liabilities		(33,174	)
Non-controlling interest		3,576
Assumption of due to related party		(28,239	)
Consideration for past services provided by Executive to the company		20,000
Gain on sale of Energy Alliance	$	21,359

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CONVERTIBLE NOTE

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 7 - CONVERTIBLE NOTE

Convertible notes payable at June 30, 2018 and June 30, 2017, consists of the following:

	June 30,		June 30,
	2018		2017
Dated November 1, 2016	$	4,439	$	8,239
Dated January 1, 2017 - 1		10,489		14,289
Dated January 1, 2017 - 2		6,200		10,000
Dated January 1, 2017 - 3		3,422		3,468
Dated June 30, 2017		9,969		9,969
Dated April 1, 2018 -1		10,000		-
Dated April 1, 2018 -2		10,000		-
Dated June 30, 2018		28,376
Total convertible notes payable		82,895		45,965
Less: Unamortized debt discount		-		(2,746	)
Total convertible notes		82,895		43,219
Less: current portion of convertible notes		82,895		43,219
Long-term convertible notes	$	-	$	-

For the year ended June 30, 2018 and 2017, the Company recognized interest expense of $16,310 and $6,442 and amortization of discount, included in interest expense, of $51,122 and $53,151, respectively. As of June 30, 2018, and 2017, the Company recorded accrued interest of $23,727 and $6,703, respectively

Dated November 1, 2016

On November 1, 2016, the Company issued a convertible note with a conversion price of $0.005 to extinguish debt of $18,239. The convertible note is unsecured, bears interest at 4% per annum and due and payable on November 1, 2017. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $18,239. During the year ended June 30, 2018, the convertible note of $3,800 was converted into 760,000 shares of common stock.

Dated January 1, 2017 - 1

On January 1, 2017, the Company issued a convertible note with a conversion price of $0.005 to extinguish amounts due to related parties of $10,000. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $10,000. During the year ended June 30, 2018, the convertible note of $3,800 was converted into 760,000 shares of common stock.

Dated January 1, 2017 - 2

On January 1, 2017, the Company issued a convertible note with a conversion price of $0.005 to extinguish amounts due to related parties of $14,289. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $14,289. During the year ended June 30, 2018, the convertible note of $3,800 was converted into 760,000 shares of common stock.

Dated January 1, 2017 - 3

On January 1, 2017, the Company issued a convertible note with a conversion price of $0.005 to extinguish amounts due to related parties of $3,352 (Canadian dollar (“CAD”) $4,500). The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $3,352 (CAD $4,500). The difference of amount was a result of change of exchange rate.

Dated June 30, 2017

On June 30, 2017, the Company issued a convertible note with a conversion price of $0.01 to pay operating expenses of $9,969. The convertible note is unsecured, bears interest at 35% per annum, has no maturity date and due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $9,969.

Dated April 1, 2018 - 1

On April 1, 2018, the Company issued a convertible note of $10,000 with a conversion price of $0.01 to pay a purchase of a patent of $10,000. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $10,000.

Dated April 1, 2018 - 2

On April 1, 2018, the Company issued a convertible note of $10,000 with a conversion price of $0.01 to pay a purchase of a patent of $10,000. The convertible note is unsecured, bears interest at 45% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $10,000.

Dated June 30, 2018

On June 30, 2018, the Company issued a convertible note with a conversion price of $0.01 to pay operating expenses of $28,376. The convertible note is unsecured, bears interest at 30% per annum, has no maturity date and is due on demand. The Company recorded a discount on the convertible note due to a beneficial conversion feature of $28,376.

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DUE TO RELATED PARTIES

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 8 - DUE TO RELATED PARTIES

The Corporation was obligated to shareholders for funds advanced to the Corporation for working capital. The advances are unsecured and no interest rate or payback schedule has been established.

During the year ended June 30, 2018 and 2017, the Corporation borrowed a total amount of $0 and $73,159 from shareholders, respectively.

During the year ended June 30, 2018, the Company’s CEO paid accounts payable of $41,025 on behalf of the Company. The loans are unsecured, non-interest bearing and due on demand.

On July 1, 2017, the Company entered into an employment agreement with CEO of the Company which the Company shall pay a cash based base salary of $65,000 from July 1, 2017 through December 31, 2017. For the year ended June 30, 2018, the Company recorded management fee of $65,000.

On February 7, 2018, the Company issued 13,000,000 shares of common stock to settle accrued salary of $65,000. As a result, the Company recorded loss on settlement of debt of $1,549,439.

On January 1, 2017, the Corporation issued convertible notes to repay the amount owed to related parties in the aggregate amount of $27,641 (Note 7). The advances are unsecured, non-interest bearing and no payback schedule has been established.

During the year ended June 30, 2017, due to related party of $4,461 (C$5,789) was forgiven and the Company recorded debt forgiveness of $4,461 as additional paid-in capital.

As of June 30, 2018, and 2017, the Corporation owed related parties $186,281 and $147,185, respectively.

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EQUITY

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 9 - EQUITY

Preferred Stock

The Company is authorized to issue 90,000,000 shares of preferred stock at a par value of $0.0001.

No shares were issued and outstanding as of June 30, 2018 and 2017, respectively.

Common Stock

The Company is authorized to issue 100,000,000 shares of common stock at a par value of $0.0001.

During the year ended June 30, 2018, the Company issued common stock as follows;

· 2,280,000 shares of common stock for conversion of debt of $11,400.

· 13,000,000 shares of common stock for conversion of accrued salary of $65,000.

· 349 shares of common stock to correct the shares issued and outstanding after the reverse stock split on December 21, 2017.

During the year ended June 30, 2017, the Company issued common shares as follows,

· On October 28, 2016, the Company issued 80,000 shares of its common stock in exchange for 100% of the issued and outstanding equity interests of Energy Alliance.

· During the year ended June 30, 2017, the Company issued 40,000 shares of its common stock for conversion of debt of $10,000

On November 28, 2016, Chris Tong Tang and Zhao Hui Ma returned the 130,000 shares to the Company’s treasury for cancellation (Note 6).

During the year ended June 30, 2017, the Company purchased back 12,000 shares at $1.712 (C$2.50) per share and 770 shares at $3.42 (C$5.00).

As at June 30, 2018 and 2017, 15,579,749 and 299,400 shares of common stock were issued and outstanding, respectively.

As at June 30, 2018 and 2017, there were no warrants or options outstanding.

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INCOME TAXES

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 10 – INCOME TAXES

The Company follows ASC 740. Deferred income taxes reflect the net effect of (a) temporary difference between carrying amounts of assets and liabilities for financial purposes and the amounts used for income tax reporting purposes, and (b) net operating loss carry-forwards. No net provision for refundable Federal income tax has been made in the accompanying statement of loss because no recoverable taxes were paid previously. Similarly, no deferred tax asset attributable to the net operating loss carry-forward has been recognized, as it is not deemed likely to be realized.

On December 22, 2017, the United States enacted the Tax Cuts and Jobs Act (the “Act”) resulting in significant modifications to existing law. The Company has completed the accounting for the effects of the Act during the year ended June 30, 2018. The Company’s financial statements for the year ended June 30, 2018 reflect certain effects of the Act which includes a reduction in the corporate tax rate from 34% to 21% as well as other changes.

The provision for refundable federal income tax at 21% consists of the following for the periods ending:

	June 30,			June 30,
	2018			2017
Federal income tax benefit attributed to:
Net operating loss	$	25,237		$	18,402
Valuation		(25,237	)		(18,402	)
Net benefit	$	-		$	-

The cumulative tax effect at the expected rate of 21% of significant items comprising our net deferred tax amount is as follows:

	June 30,			June 30,
	2018			2017
Deferred tax attributed:
Net operating loss carryover	$	142,643		$	117,406
Effect of change in the statutory rate		(56,685	)		-
Less: change in valuation allowance		(85,958	)		(117,406	)
Net deferred tax asset		-			-

The Corporation has $409,324 (2017 - $289,149) of loss carry forwards in the United States that begin to expire in 2033. No tax benefits have been recognized in these consolidated financial statements as the criteria for recognition has not been met.

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SUBSEQUENT EVENT

12 Months Ended

Jun. 30, 2018

Notes to Financial Statements

NOTE 11 – SUBSEQUENT EVENT

On July 5, 2018, the Company issued convertible notes of $60,000 with a conversion price pf $0.01 to extinguish amounts due to related parties of $146,975 (C$191,000). The convertible notes are unsecured, bears interest at 30% per annum, has no maturity date and due on demand.

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies)

12 Months Ended

Jun. 30, 2018

Summary Of Significant Accounting Policies

Basis of Presentation

The Corporation’s financial statements included herein are prepared under the accrual basis of accounting in accordance with accounting principles generally accepted in the United States of America.

Principles of Consolidation

These financial statements include the Corporation’s wholly owned subsidiaries MJP Lighting Solutions Ltd., MJP Holdings Ltd. and Energy Alliance Lab Inc., and Human Energy Alliance Laboratories Corp., which is 80% owned by Energy Alliance. All subsidiaries were disposed during the year ended June 30, 2018. All inter-company accounts and transactions before the Company disposed of these subsidiaries have been eliminated.

Use of Estimates

The preparation of financial statements in conformity with accounting principles generally accepted in the United States of America requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosures of contingent assets and liabilities at the date of financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates.

Business Combination

In our accounting for business combinations, judgment is required in determining whether an intangible asset is identifiable, and should be recorded separately from goodwill. Additionally, estimating the acquisition date fair values of the identifiable assets acquired and liabilities assumed involves considerable management judgment. The necessary measurements are based on information available on the acquisition date and are based on expectations and assumptions that have been deemed reasonable by management. These judgments, estimates, and assumptions can materially affect our financial position and profit for several reasons, including the following:

· Subsequent negative changes in the estimated fair values of assets may result in additional expense from impairment charges.

· Subsequent changes in the estimated fair values of liabilities and provisions may result in additional expense (if increasing the estimated fair value) or additional income (if decreasing the estimated fair value).

Foreign currency translation and functional currency conversion

Prior to July 1, 2017, the Company’s functional currency was the Canadian dollar. Translation gains and losses from the application of the U.S. dollar as the reporting currency during the period that the Canadian dollar was the functional currency are included as part of cumulative currency translation adjustment, which is reported as a component of shareholders’ equity under accumulated other comprehensive loss.

The Company re-assessed its functional currency and determined as at Jul 1, 2017, its functional currency changed from the Canadian dollar to the U.S. dollar based on management’s analysis of changes in our organization. The change in functional currency is accounted for prospectively from July 1, 2017 and financial statements prior to and including the period ended December 31, 2016 have not been restated for the change in functional currency.

For periods commencing July 1, 2017, monetary assets and liabilities denominated in foreign currencies are translated into U.S. dollars using exchange rates in effect at the balance sheet date. Opening balances related to non-monetary assets and liabilities are based on prior period translated amounts, and non-monetary assets and non-monetary liabilities incurred after Jul 1, 2017 are translated at the approximate exchange rate prevailing at the date of the transaction. Revenue and expense transactions are translated at the approximate exchange rate in effect at the time of the transaction. Foreign exchange gains and losses are included in the statement of operations and comprehensive loss as foreign exchange gains.

Cash

For purposes of reporting within the statements of cash flows, the Corporation considers all cash on hand, cash accounts not subject to withdrawal restrictions or penalties, and all highly liquid debt instruments purchased with a maturity of three months or less to be cash and cash equivalents.

Comprehensive Loss

The Corporation adopted FASB ASC 220, “Reporting Comprehensive Income”, which establishes standards for the reporting and display of comprehensive income and its components in the financial statements. Comprehensive income consists of net income and other gains and losses affecting stockholders’ equity that are excluded from net income, such as unrealized gains and losses on investments available for sale, foreign currency translation gains and losses and minimum pension liability. Since inception, the Corporation’s other comprehensive income represents foreign currency translation adjustments.

Basic and Diluted Loss per Common Stock

FASB ASC 260, “Earnings per share” requires dual presentation of basic and diluted earnings per share (EPS) with a reconciliation of the numerator and denominator of the EPS computations. Basic earnings per share amounts are based on the weighted average shares of common stock outstanding. If applicable, diluted earnings per stock would assume the conversion, exercise or issuance of all potential common stock instruments such as options, warrants and convertible securities, unless the effect is to reduce a loss or increase earnings per share. Diluted net income (loss) per common stock on the potential exercise of the equity-based financial instruments is not presented where anti-dilutive.

Fair Value of Financial Instrument

The Corporation follows FASB ASC 820, “Fair Value Measurements and Disclosures”, for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis. This new accounting standard establishes a single definition of fair value and a framework for measuring fair value, sets out a fair value hierarchy to be used to classify the source of information used in fair value measurement and expands disclosures about fair value measurements required under other accounting pronouncements. It does not change existing guidance as to whether or not an instrument is carried at fair value. The Corporation defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Corporation considers the principal or most advantageous market in which the Corporation would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Corporation applies FASB ASC 825, Financial Instruments, which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value. The Corporation has not elected the fair value option for any eligible financial instruments.

Fair Value Measurements

The Corporation follows FASB ASC 820, Fair Value Measurements and Disclosures, for all financial instruments and non-financial instruments accounted for at fair value on a recurring basis. This new accounting standard establishes a single definition of fair value and a framework for measuring fair value, sets out a fair value hierarchy to be used to classify the source of information used in fair value measurement and expands disclosures about fair value measurements required under other accounting pronouncements. It does not change existing guidance as to whether or not an instrument is carried at fair value. The Corporation defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date.

When determining the fair value measurements for assets and liabilities, which are required to be recorded at fair value, the Corporation considers the principal or most advantageous market in which the Corporation would transact and the market-based risk measurements or assumptions that market participants would use in pricing the asset or liability, such as inherent risk, transfer restrictions and credit risk.

The Corporation has adopted FASB ASC 825, Financial Instruments, which allows companies to choose to measure eligible financial instruments and certain other items at fair value that are not required to be measured at fair value. The Corporation has not elected the fair value option for any eligible financial instruments.

Impairment of Long-Lived Assets

Impairment losses on long-lived assets are recognized when events or changes in circumstances indicate that the undiscounted cash flows estimated to be generated by such assets are less than their carrying value and, accordingly, all or a portion of such carrying value may not be recoverable. Impairment losses are then measured by comparing the fair value of assets to their carrying amounts. During the year ended June 30, 2018 and 2017, the Company recognized impairment loss of $20,000 and $226,007, respectively

Revenue Recognition

The Corporation follows FASB ASC 606, “Revenue from Contracts with Customers” for revenue recognition. The Company recognizes revenue when it is realized or realizable and earned. The Company considers revenue realized or realizable and earned when all of the following criteria are met: (i) persuasive evidence of an arrangement exists, (ii) the product has been shipped or the services have been rendered to the customer, (iii) the sales price is fixed or determinable, and (iv) collectability is reasonably assured.

The Corporation recognizes revenue when persuasive evidence of an arrangement exists, shipment has occurred or services rendered, the price is fixed or determinable and payment is reasonably assured. Customers take ownership at point of sale and bear the costs and risks of delivery.

We currently do not have operations, and its management seeks to acquire cash generating businesses.

Cost of Goods Sold

Cost of goods sold includes the following expenses; inventory and various expenses related to sell the products.

Beneficial Conversion Feature

For conventional convertible debt where the rate of conversion is below market value, the Corporation records a Beneficial Conversion Feature (the “BCF”) and related debt discount.

When the Company records a BCF, the intrinsic value of the BCF is recorded as a debt discount against the face amount of the respective debt instrument (offset to additional paid-in capital) and amortized to interest expense over the life of the debt. 

Income Taxes

The Corporation follows FASB ASC Topic 820, “Income Taxes” which requires the use of the asset and liability method of accounting for income taxes. Under this method, deferred tax assets and liabilities are recognized for future tax consequences attributable to temporary differences between the financial statements carrying amounts of existing assets and liabilities and loss carry forwards and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the year in which those temporary differences are expected to be recovered or settled. The tax consequences of most events recognized in the current year’s financial statements are included in determining income taxes currently payable. However, because tax laws and financial accounting standards differ in their recognition and measurement of assets, liabilities, equity, revenues, expenses, gains and losses, differences arise between the amount of taxable income and pre-tax financial income for a year and between the tax bases of assets or liabilities and their reported amounts in the financial statements.

Because the Corporation assumes that the reported amounts of assets and liabilities will be recovered and settled, respectively, a difference between the tax basis of an asset or a liability and its reported amount in the balance sheet will result in a taxable or a deductible amount in some future years when the related liabilities are settled or the reported amounts of the assets are recovered, which gives rise to a deferred tax asset. The Corporation must then assess the likelihood that the deferred tax assets will be recovered from future taxable income and to the extent the Corporation believes that recovery is not likely, the Corporation must establish a valuation allowance.

The Corporation has adopted FASB guidance on accounting for uncertainty in income taxes which provides a financial statement recognition threshold and measurement attribute for a tax position taken or expected to be taken in a tax return. Under this guidance, the Corporation may recognize the tax benefit from an uncertain tax position only if it is more likely than not that the tax position will be sustained on examination by the taxing authorities, based on the technical merits of the position. The tax benefits recognized in the financial statements from such a position should be measured based on the largest benefit that has a greater than 50% likelihood of being realized upon ultimate settlement. The guidance also extends to de-recognition of income tax assets and liabilities, classification of current and deferred income tax assets and liabilities, accounting for interest and penalties associated with tax positions, and income tax disclosures.

Recent Accounting Pronouncements

The Company adopts new pronouncements relating to generally accepted accounting principles applicable to the Company as they are issued, which may be in advance of their effective date. Management does not believe that any recently issued, but not yet effective accounting standards, if currently adopted, would have a material effect on the accompanying financial statements.

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ASSETS ACQUISITION AND BUSINESS COMBINATION (Tables)

12 Months Ended

Jun. 30, 2018

Assets Acquisition And Business Combination

Schedule of acquisition of business consideration

Consideration given up:
Share issued:		80,000
Market price of the Company’s shares on October 28, 2016	$	2.50
Fair value of equity instrument issued	$	200,000
Assets acquired/liabilities assumed:
Total assets	$	84,000
Total liabilities	$	(19,290	)
Recognized intangible assets	$	135,290
Total	$	200,000

Schedule of assets acquired/liabilities assumed

Consideration given up:	October 28, 2016 $
Cash:		80,000
Allocation of purchases price:
Cash and cash equivalents		3,754
Inventory		1,869
Liabilities assumed:
Accounts payable		(8,300	)
Estimated warranty liabilities		(3,254	)
Advances from Energy Alliance		(4,000	)
Loan payable		(3,464	)
Net assets acquired		(13,395	)
Allocated to non-controlling interest		2,678
Intangible assets and goodwill		90,717

Schedule of business consideration purchases price allocation

	Year ended
	June 30,
	2017
Revenue	$	1,941
Net loss	$	(11,779	)

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GOODWILL AND INTANGIBLE ASSETS (Table)

12 Months Ended

Jun. 30, 2018

Goodwill And Intangible Assets

Schedule of Intangible assets from the acquisition of Energy Alliance

Consideration given up:
Share issued:		80,000
Market price of the Company’s shares on October 28, 2016	$	2.50
Fair value of equity instrument issued	$	200,000
Assets acquired/liabilities assumed:
Total assets	$	84,000
Total liabilities	$	(19,290	)
Recognized intangible assets	$	135,290
Total	$	200,000

Sechedule of Intangible assets and good from the acquisition of HEAL

Consideration given up:	October 28, 2016 $
Cash:		80,000
Allocation of purchases price:
Cash and cash equivalents		3,754
Inventory		1,869
Liabilities assumed:
Accounts payable		(8,300	)
Estimated warranty liabilities		(3,254	)
Advances from Energy Alliance		(4,000	)
Loan payable		(3,464	)
Net assets acquired		(13,395	)
Allocated to non-controlling interest		2,678
Intangible assets and goodwill		90,717

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DISPOSAL OF SUBSIDIARIES (Tables)

12 Months Ended

Jun. 30, 2018

Disposal Of Subsidiaries

Schedule of financial position of subsidiaries

MJP Lighting Solution Ltd.
Net Assets	$	1,406
Net Liabilities	$	(3,969	)
Consideration given up:
Reacquisition of stock		(130,000	)
Fair value of reacquired stock	$	(650	)
Gain on disposal	$	3,213

Schedule of loss from discontinued operation

	January 1,
	2017
Revenue	$	1,987
Cost of goods sold		923
Gross profit		1,064
General & administration		5,352
Professional fees		200
Operating loss		(4,488	)
Gain from sale of Energy Alliance		21,359
Gain from discontinued operations	$	16,871

Schedule of major classes of assets and liabilities

	January 1,
	2017
Cash	$	15,284
Inventory		1,010
Accounts payable		(6,771	)
Credit card		(2,549	)
Due to related party		(28,239	)
Loan payable		(9,057	)
Estimated warranty liabilities		(2,852	)
Net liabilities		(33,174	)
Non-controlling interest		3,576
Assumption of due to related party		(28,239	)
Consideration for past services provided by Executive to the company		20,000
Gain on sale of Energy Alliance	$	21,359

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CONVERTIBLE NOTE (Tables)

12 Months Ended

Jun. 30, 2018

Convertible Note

Schedule of convertible note payable

	June 30,		June 30,
	2018		2017
Dated November 1, 2016	$	4,439	$	8,239
Dated January 1, 2017 - 1		10,489		14,289
Dated January 1, 2017 - 2		6,200		10,000
Dated January 1, 2017 - 3		3,422		3,468
Dated June 30, 2017		9,969		9,969
Dated April 1, 2018 -1		10,000		-
Dated April 1, 2018 -2		10,000		-
Dated June 30, 2018		28,376
Total convertible notes payable		82,895		45,965
Less: Unamortized debt discount		-		(2,746	)
Total convertible notes		82,895		43,219
Less: current portion of convertible notes		82,895		43,219
Long-term convertible notes	$	-	$	-

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INCOME TAXES (Tables)

12 Months Ended

Jun. 30, 2018

Income Taxes Tables Abstract

Schedule of income tax benefit

	June 30,			June 30,
	2018			2017
Federal income tax benefit attributed to:
Net operating loss	$	25,237		$	18,402
Valuation		(25,237	)		(18,402	)
Net benefit	$	-		$	-

Schedule of deferred tax asset

	June 30,			June 30,
	2018			2017
Deferred tax attributed:
Net operating loss carryover	$	142,643		$	117,406
Effect of change in the statutory rate		(56,685	)		-
Less: change in valuation allowance		(85,958	)		(117,406	)
Net deferred tax asset		-			-

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NATURE AND CONTINUANCE OF OPERATIONS (Details Narrative) - USD ($)		1 Months Ended	12 Months Ended
	Feb. 05, 2016	Oct. 28, 2016	Jun. 30, 2018	Nov. 28, 2016
State of incorporation			Nevada
Date of incorporation			Oct. 24, 2012
Reverse stock split			Fifty (50) old for one (1) new basis
Human Energy Alliance Laboratories Corp [Member]
Issued and outstanding equity interests	80.00%
Share Exchange Agreement [Member]
Issued and outstanding equity interests		100.00%
Number of common shares in exchange for issued and outstanding equity interests		80,000
January 1, 2017 [Member]
Assumption of due to related party			$ (28,239)
Consideration for past services provided by Executive to the company			$ 20,000
Liao Zu Guo [Member] | Human Energy Alliance Laboratories Corp [Member]
Cash for acquisition of shares	$ 80,000
Liao Zu Guo [Member] | Share Exchange Agreement [Member]
Issued and outstanding equity interests		100.00%
Number of common shares in exchange for issued and outstanding equity interests		80,000
MJP Holdings Ltd [Member]
Issued and outstanding equity interests				100.00%
MJP Holdings Ltd [Member] | Liao Zu Guo [Member] | January 1, 2017 [Member]
Issued and outstanding equity interests			100.00%

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GOING CONCERN (Details Narrative) - USD ($)	Jun. 30, 2018	Jun. 30, 2017
Going Concern
Accumulated deficit	$ (2,367,299)	$ (626,563)

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SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Accounting Policies [Abstract]
Percentage of wholly owned subsidiaries	80.00%
Impairment of long-lived assets or goodwill	$ 20,000	$ 226,007

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ASSETS ACQUISITION AND BUSINESS COMBINATION (Details)	Jun. 30, 2018 USD ($) $ / shares shares
Consideration given up:
Share issued | shares	80,000
Market price of the Company’s shares on October 28, 2016 | $ / shares	$ 2.50
Fair value of equity instrument issued	$ 200,000
Assets acquired/liabilities assumed:
Total assets	84,000
Total liabilities	(19,290)
Recognized intangible assets	135,290
Total	$ 200,000

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ASSETS ACQUISITION AND BUSINESS COMBINATION (Details 1)	1 Months Ended
	Oct. 28, 2016 USD ($)
Consideration given up:
Cash:	$ 80,000
Allocation of purchases price:
Cash and cash equivalents	3,754
Inventory	1,869
Liabilities assumed:
Accounts payable	(8,300)
Estimated warranty liabilities	(3,254)
Advances from Energy Alliance	(4,000)
Loan payable	(3,464)
Net assets acquired	(13,395)
Allocated to non-controlling interest	2,678
Intangible assets and goodwill	$ 90,717

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ASSETS ACQUISITION AND BUSINESS COMBINATION (Details 2)	12 Months Ended
	Jun. 30, 2017 USD ($)
Assets Acquisition And Business Combination Details 2Abstract
Revenue	$ 1,941
Net loss from operations	$ (11,779)

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ASSETS ACQUISITION AND BUSINESS COMBINATION (Details Narrative) - USD ($)		1 Months Ended
	Feb. 05, 2016	Oct. 28, 2016	Jun. 30, 2018
Recognized intangible assets			$ 135,290
Allocated to non-controlling interest		$ 2,678
Intangible assets and goodwill		$ 90,717
Percentage of wholly owned subsidiaries			80.00%
Share Exchange Agreement [Member]
Number of common shares in exchange for issued and outstanding equity interests		80,000
Issued and outstanding equity interests		100.00%
Liao Zu Guo [Member] | Share Exchange Agreement [Member]
Number of common shares in exchange for issued and outstanding equity interests		80,000
Issued and outstanding equity interests		100.00%
Heal [Member]
Allocated to non-controlling interest			$ (2,678)
Intangible assets and goodwill			$ 90,717
Human Energy Alliance Laboratories Corp [Member]
Issued and outstanding equity interests	80.00%
Human Energy Alliance Laboratories Corp [Member] | Liao Zu Guo [Member]
Business acquisition shares issued and outstanding	35,000,000
Proceeds from equity interest	$ 80,000

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GOODWILL AND INTANGIBLE ASSETS (Details)	Jun. 30, 2018 USD ($) $ / shares shares
Consideration given up:
Share issued | shares	80,000
Market price of the Company’s shares on October 28, 2016 | $ / shares	$ 2.50
Fair value of equity instrument issued	$ 200,000
Assets acquired/liabilities assumed:
Total assets	84,000
Total liabilities	(19,290)
Recognized intangible assets	135,290
Total	$ 200,000
Intangible assets from the acquisition of Energy Alliance [Member]
Consideration given up:
Share issued | shares	80,000
Market price of the Company’s shares on October 28, 2016 | $ / shares	$ 2.5
Fair value of equity instrument issued	$ 200,000
Assets acquired/liabilities assumed:
Total assets	84,000
Total liabilities	(19,290)
Recognized intangible assets	135,290
Total	$ 200,000

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GOODWILL AND INTANGIBLE ASSETS (Details 1)	1 Months Ended
	Oct. 28, 2016 USD ($)
Consideration given up:
Cash:	$ 80,000
Allocation of purchases price:
Cash and cash equivalents	3,754
Inventory	1,869
Liabilities assumed:
Accounts payable	(8,300)
Estimated warranty liabilities	(3,254)
Advances from Energy Alliance	(4,000)
Loan payable	(3,464)
Net assets acquired	(13,395)
Allocated to non-controlling interest	2,678
Intangible assets and goodwill	90,717
Intangible assets and good from the acquisition of HEAL [Member]
Consideration given up:
Cash:	80,000
Allocation of purchases price:
Cash and cash equivalents	3,754
Inventory	1,869
Liabilities assumed:
Accounts payable	(8,300)
Estimated warranty liabilities	(3,254)
Advances from Energy Alliance	(4,000)
Loan payable	(3,464)
Net assets acquired	(13,395)
Allocated to non-controlling interest	2,678
Intangible assets and goodwill	$ 90,717

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GOODWILL AND INTANGIBLE ASSETS (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Recognized intangible assets	$ 135,290
Impairment of intangible assets and goodwill	20,000	$ 226,007
Patent of purchase	20,000
Patents [Member]
Impairment of intangible assets and goodwill	$ 0

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DISPOSAL OF SUBSIDIARIES (Details)	1 Months Ended
	Nov. 28, 2016 USD ($)
MJP Lighting Solution Ltd.
Net Assets	$ 1,406
Net Liabilities	(3,969)
Consideration given up:
Reacquisition of stock	(130,000)
Fair value of reacquired stock	(650)
Gain on disposal	$ 3,213

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DISPOSAL OF SUBSIDIARIES (Details 1) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Revenue		$ 5,386
Cost of goods sold		4,480
Gross profit		906
General & administration	72,536	33,354
Professional fees	46,341	55,286
Operating loss	(118,877)	(87,734)
Gain from discontinued operations		$ 16,871
January 1, 2017 [Member]
Revenue	1,987
Cost of goods sold	923
Gross profit	1,064
General & administration	5,352
Professional fees	200
Operating loss	(4,488)
Gain from sale of Energy Alliance	21,359
Gain from discontinued operations	$ 16,871

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DISPOSAL OF SUBSIDIARIES (Details 2) - USD ($)	Jun. 30, 2018	Jun. 30, 2017
Due to related party	$ 186,281	$ 147,185
Net liabilities	309,682	$ 229,148
Gain on sale of Energy Alliance	21,359
January 1, 2017 [Member]
Cash	15,284
Inventory	1,010
Accounts payable	(6,771)
Credit card	(2,549)
Due to related party	(28,239)
Loan payable	(9,057)
Estimated warranty liabilities	(2,852)
Net liabilities	(33,174)
Non-controlling interest	3,576
Assumption of due to related party	(28,239)
Consideration for past services provided by Executive to the company	20,000
Gain on sale of Energy Alliance	$ 21,359

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DISPOSAL OF SUBSIDIARIES (Details Narrative) - USD ($)	1 Months Ended	12 Months Ended
	Nov. 28, 2016	Jun. 30, 2018	Jun. 30, 2017	Oct. 28, 2016	Oct. 04, 2016
Gain on disposal					$ 33,436
Gain on sale of Energy Alliance		$ 21,359
Foreign exchange translation adjustment		15,012	$ 658
Chris Tong Tang And Zhao Hui Ma [Member]
Stock returned to treasury for cancellation	130,000
January 1, 2017 [Member]
Assumption of due to related party		(28,239)
Consideration for past services s provided by Executive to the company		20,000
Gain on sale of Energy Alliance		$ 21,359
Energy Alliance [Member]
Issued and outstanding equity interests				100.00%
Energy Alliance [Member] | January 1, 2017 [Member]
Issued and outstanding equity interests		100.00%
Assumption of due to related party		$ 28,239
Consideration for past services s provided by Executive to the company		$ 20,000
MJP Holdings Ltd [Member]
Issued and outstanding equity interests	100.00%
Due to uncollectable receivables	$ 4,041

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CONVERTIBLE NOTE (Details) - USD ($)	Jun. 30, 2018	Jun. 30, 2017
Total convertible notes payable	$ 82,895	$ 45,965
Less: Unamortized debt discount		(2,746)
Total convertible notes	82,895	43,219
Less: current portion of convertible notes	82,895	43,219
Long-term convertible notes
Convertible Notes Payable [Member]
Total convertible notes payable	28,376
Convertible Notes Payable [Member] | November 1, 2016 [Member]
Total convertible notes payable	4,439	8,239
Convertible Notes Payable [Member] | January 1, 2017 - 1 [Member]
Total convertible notes payable	10,489	14,289
Convertible Notes Payable [Member] | January 1, 2017 - 2 [Member]
Total convertible notes payable	6,200	10,000
Convertible Notes Payable [Member] | January 1, 2017 - 3 [Member]
Total convertible notes payable	3,422	3,468
Convertible Notes Payable [Member] | June 30, 2017 [Member]
Total convertible notes payable	9,969	9,969
Convertible Notes Payable [Member] | April 1, 2018 [Member]
Total convertible notes payable	10,000
Convertible Notes Payable [Member] | April 1, 2018 - 2 [Member]
Total convertible notes payable	$ 10,000

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CONVERTIBLE NOTE (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Patent of purchase	$ 20,000
Convertible note beneficial conversion feature	28,376	$ 55,849
Amortization of debt discount	51,122	53,151
Interest expense	16,310	6,442
Accrued interest	23,727	6,703
Convertible note issued	$ 82,895	$ 43,219
Convertible Notes Payable [Member]
Convertible note conversion price	$ 0.01	$ 0.01
Convertible note bearing interest	30.00%	35.00%
Convertible note beneficial conversion feature	$ 28,376	$ 9,969
Operating expenses	$ 28,376	$ 9,969
Convertible Notes Payable [Member] | April 1, 2018 - 2 [Member]
Convertible note conversion price	$ 0.01
Patent of purchase	$ 10,000
Convertible note bearing interest	45.00%
Convertible note beneficial conversion feature	$ 10,000
Convertible note issued	$ 10,000
Convertible Notes Payable [Member] | April 1, 2018 - 1 [Member]
Convertible note conversion price	$ 0.01
Patent of purchase	$ 10,000
Convertible note bearing interest	45.00%
Convertible note beneficial conversion feature	$ 10,000
Convertible note issued	$ 10,000
Convertible Notes Payable [Member] | January 1, 2017 - 3 [Member]
Convertible note conversion price	$ 0.005
Amount due to relates parties	$ 3,352
Convertible Notes Payable [Member] | January 1, 2017 - 2 [Member]
Convertible note conversion price	$ 0.005
Amount due to relates parties	$ 14,289
Convertible note bearing interest	45.00%
Convertible note beneficial conversion feature	$ 14,289
Common stock converted, shares	760,000
Common stock converted, amount	$ 3,800
Convertible Notes Payable [Member] | January 1, 2017 [Member]
Convertible note conversion price	$ 0.005
Amount due to relates parties	$ 10,000
Convertible note bearing interest	45.00%
Convertible note beneficial conversion feature	$ 10,000
Common stock converted, shares	760,000
Common stock converted, amount	$ 3,800
Convertible Notes Payable [Member] | November 1, 2016 [Member]
Convertible note conversion price	$ 0.005
Amount due to relates parties	$ 18,239
Convertible note bearing interest	4.00%
Maturity date	Nov. 01, 2017
Convertible note beneficial conversion feature	$ 18,239
Common stock converted, shares	760,000
Common stock converted, amount	$ 3,800
Convertible Notes Two [Member] | January 1, 2017 - 3 [Member]
Convertible note bearing interest	45.00%
Convertible note beneficial conversion feature	$ 3,352

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DUE TO RELATED PARTIES (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Feb. 07, 2018
Due to related parties		$ 73,159
Accounts payable paid by related party	41,025
Convertible notes payable	82,895	43,219
Corporation due to related parties	186,281	147,185
Debt forgiveness		4,461
Accrued salary	65,000
Common stock issued shares for settlement of accrued salary			13,000,000
Loss on settlement of debt	1,549,439
January 1, 2017 [Member]
Convertible notes payable	27,641
Corporation due to related parties	$ (28,239)
On July 1, 2017 [Member]
Description of salary agreement	<p style="margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">the Company shall pay a cash based base salary of $65,000 from July 1, 2017 through December 31, 2017</font></p>

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EQUITY (Details Narrative) - USD ($)	1 Months Ended		12 Months Ended
	Dec. 21, 2017	Nov. 28, 2016	Jun. 30, 2018	Jun. 30, 2017	Oct. 28, 2016
Preferred stock, shares authorized			90,000,000	90,000,000
Preferred stock, par value			$ 0.0001	$ 0.0001
Preferred stock, shares issued			0	0
Preferred stock, shares outstanding			0	0
Common stock, shares authorized			100,000,000	100,000,000
Common stock, par value			$ 0.0001	$ 0.0001
Common stock, shares issued			15,579,749	299,400
Common stock, shares outstanding			15,579,749	299,400
Debt conversion, converted instrument, amount			$ 11,400	$ 10,000
Debt conversion, converted instrument, shares issued				40,000
Common stock shares issued for conversion of debr			2,280,000
Common stock shares issued for conversion of accrued salary			13,000,000
Conversion of accrued salary			$ 65,000
Common stock shares issued and outstanding after reverse stock split	349
Energy Alliance [Member]
Common stock, shares issued					80,000
Common stock exchange for equity interest					100.00%
Chris Tong Tang And Zhao Hui Ma [Member]
Stock returned to treasury for cancellation		130,000
Corporation One [Member]
Stock repurchased during period				770
Purchase price per share				$ 3.42
Corporation [Member]
Stock repurchased during period				12,000
Purchase price per share				$ 1.712

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INCOME TAXES (Details) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Federal income tax benefit attributed to:
Net operating loss	$ 25,237	$ 18,402
Valuation	25,237	18,402
Net benefit

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INCOME TAXES (Details 1) - USD ($)	Jun. 30, 2018	Jun. 30, 2017
Deferred tax attributed:
Net operating loss carryover	$ 142,643	$ 117,406
Effect of change in the statutory rate	(56,685)
Less: change in valuation allowance	(85,958)	(117,406)
Net deferred tax asset

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INCOME TAXES (Details Narrative) - USD ($)	12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Net operating loss carry forwards	$ 142,643	$ 117,406
Federal income tax	21.00%
UNITED STATES
Net operating loss carry forwards	$ 409,324	$ 289,149
Carryforward expiration year	2033

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SUBSEQUENT EVENT (Details Narrative) - USD ($)	Jul. 05, 2018	Jun. 30, 2018	Jun. 30, 2017
Convertible notes issued		$ 82,895	$ 43,219
Due to related parties		$ 186,281	$ 147,185
Subsequent Event [Member]
Convertible notes issued	$ 60,000
Conversion price	$ 0.01
Due to related parties	$ 146,975
Subsequent event description	<p style="font: 10pt/107% Times New Roman, Times, Serif; margin: 0; text-align: justify"><font style="font: 10pt Times New Roman, Times, Serif">The convertible notesare unsecured, bears interest at 30% per annum, has no maturity date and due on demand.</font></p>
Interest rate	30.00%