Item 1.01. Entry into Material Definitive Agreement.
Restructure of Outstanding Viva Entertainment Group Promissory Note
In connection with the sale on April 5, 2016 of our Viva Entertainment Group Subsidiary to Black River Petroleum Corp. (Black River, which subsequently changed its name to Viva Entertainment Group), Black River issued to the Company in exchange for control of our subsidiary, a 10% promissory note in the principal amount of $100,000, due six months from the closing of the sale (the Original Note), which represented the purchase price paid by Black River (now Viva Entertainment Group) for our subsidiary. The Original Note did not have a Convertible Structure.
As of February 27, 2017, the Company and Viva Entertainment Group have signed an amendment to the Original Note (which as so amended is referred to herein as the Amended Note). The Amended Note is due on demand and convertible into shares of Viva Entertainment Group (Symbol: OTTV) common stock at a variable Conversion Price defined as 50% multiplied by the Market Price (representing a discount rate of 50%). Market Price means the lowest one (1) Trading Prices for the Viva Entertainment common stock the twenty (20) Trading Day period ending on the last complete Trading Day prior to the Conversion Date. Trading Prices means, for any security as of any date, the lowest traded price on the Over-the Counter Pink Marketplace, OTCQB, or applicable trading market (the OTCQB) as reported by a reliable reporting service reporting service. The Amended Note is filed as an exhibit to this Current Report, and reference is hereby made to that exhibit for the complete terms of the Amended Note.
EMS Find App License Agreement
On February 19, 2017, the Company entered into an agreement with EpicMD, LLC, located in Doral, Florida, for EpicMD to license the Companys application (EMS Find App), which is an on demand software platform designed to facilitate on demand scheduling of medical transportation using any iOS, Android smart device and Web-based Desktop System.
EpicMD plans to integrate the EMS Find's Platform with its own Medical Mobility Software Platform, designed to be used for claims adjudication and verification and to manage health benefits for any health care plans, facilities or providers.
Under terms of this agreement, EpicMD agreed to license and deploy EMS Find's on demand platform in conjunction with EpicMD's Medical Mobility Software Platform, designed to be used for trip scheduling, claims adjudication and verification, to manage the transportation benefits for any Health Care Plans, Facilities and Providers.
Under the Agreement, Epic MD will pay a license fee to the Company of 3% of EpicMDs gross software revenues derived by EpicMD from its use of the EMS Find Platform.
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