On January 22, 2014, Roen Ventures delivered a Notice of Election to Convert to Common Shares. As a result, in January 2014 the Company issued a total of 10,000,000 shares of the Company’s common stock under the terms of the Conversion Notice. On January 28, 2014, remaining accrued interest and an overage on the note with an aggregate total of $279,522 was repaid to Roen Ventures by the Company.

From January 1, 2014 through March 28, 2014, the Company completed the offering of its restricted common stock resulting in the issuance of an additional 7,250,000 shares of common stock for gross proceeds of $7,250,000.

On March 25, 2014, we entered into a proposal to amend the lease of our laboratory facility. This amendment extends the term of the lease for one additional year to August 12, 2015. In addition, the amendment adds another 1,252 square feet of laboratory and storage space to increase to 3,641 square feet rented. Monthly payments under the lease total $6,320.

On March 27, 2014 we signed a lease for office space in San Diego, California. Pursuant to the terms of the lease, we will lease approximately 5,325 square feet of office space at a monthly cost of $12,248. The term of the lease is expected to commence on June 1, 2014 with a term of 39 months through August 31, 2017.