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 Companys 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 HEALs revenue and net loss from operations included in the Corporations 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 )