India + Taiwan deal, page-2

Copy paste from Union Bridge Holdings Limited annual report below. It appears they have no funding and plan to raise capital to fund any future operations (including this foray into healthcare). I have no way to judge their ability to secure funding but I do think this increases the risk.

I have reduced my holdings slightly but continue to hold most of what I bought this morning because the China and Greece/Cyprus deals appear legit. If the China deal for US67M eventuates, that’s more than the company’s current market cap of 50M. I’m proceeding as if the Taiwan + India deal doesn’t exist, however, I don’t think the market will react the same way and if/when that deal runs into obstacles I expect a sell-down (in which I will accumulate more shares for cheaper).



RESULTS OF OPERATIONS

We are a development stage company and have not generated revenue to date. We have incurred recurring losses to date. Our financial statements have been prepared assuming that we will continue as a going concern and, accordingly, do not include adjustments relating to the recoverability and realization of assets and classification of liabilities that might be necessary should we be unable to continue in operation. We expect we will require additional capital to meet our long term operating requirements. We expect to raise additional capital through, among other things, the sale of equity or debt securities.

The following comparative analysis on results of operations was based primarily on the comparative financial statements, footnotes and related information for the periods identified below and should be read in conjunction with the financial statements and the notes to those statements that are included elsewhere in this report.

The following comparative analysis on results of operations was based primarily on the comparative financial statements, footnotes and related information for the periods identified below and should be read in conjunction with the financial statements and the notes to those statements that are included elsewhere in this report. The results discussed below are for the three months ended March 31, 2017 and March 31, 2016. For comparative purposes, we are comparing the three months ended March 31, 2017 to the three months ended March 31, 2016 as a result of our change in fiscal year end from November 30 to December 31 discussed above. The following discussion should be read in conjunction with the Company's financial statements and the related notes included in this quarterly report.

Plan of Operation and Funding

We expect that working capital requirements will continue to be funded through further issuances of our securities and loans from our principal shareholders. Our working capital requirements are expected to increase in line with the growth of our business.

Existing working capital, further advances and debt instruments, and anticipated cash flow are not expected to be adequate to fund our operations over the next three months. We have no lines of credit or other bank financing arrangements. Generally, we have financed operations to date through the proceeds of the private placement of equity and debt instruments. In connection with our business plan, management anticipates additional increases in operating expenses and capital expenditures relating to: (i) acquisition of inventory; (ii) developmental expenses associated with a start-up business; and (iii) marketing expenses. We intend to finance these expenses with further issuances of securities, and debt issuances. Thereafter, we expect we will need to raise additional capital and generate revenues to meet long-term operating requirements. Additional issuances of equity or convertible debt securities will result in dilution to our current shareholders. Further, such securities might have rights, preferences or privileges senior to our common stock. Additional financing may not be available upon acceptable terms, or at all. If adequate funds are not available or are not available on acceptable terms, we may not be able to take advantage of prospective new business endeavors or opportunities, which could significantly and materially restrict our business operations.