Ya Zhu Silk, Inc. completed the acquisition of substantially all assets of Kunekt Corporation.

Ya Zhu Silk, Inc. entered into an asset purchase agreement to acquire substantially all assets of Kunekt Corporation (OTCPK:KNKT) for $7.4 million in stock on June 29, 2011. Under the terms of the deal, 2.5 million YaZhu shares will be issued as consideration. In a related deal, Ya Zhu Silk, Inc. entered into a master agreement to acquire a stake in AMS-INT Asia Limited from Ferngrui Yue for $13.8 million in stock on June 29, 2011. The transaction is subject to shareholders of Kunekt. The closing of the sale will take place on the latest of five business days after Kunekt receives shareholder approval for the sale. As of January 18, 2012, the agreement was amended and the closing date of the transaction was extended by six months. Clark Wilson LLP acted as legal advisor to Kunekt Corporation.

Ya Zhu Silk, Inc. completed the acquisition of substantially all assets of Kunekt Corporation (OTCPK:KNKT) on October 19, 2012.