Exhibit
10.1
STOCK
PURCHASE AGREEMENT
THIS STOCK
PURCHASE AGREEMENT (the “Agreement”) is entered into
and is effective on this 16 th day of June 2009 by and between JB Clothing Corporation, a Nevada
corporation with principal address at 47 Fountainhead Circle,
Henderson, Nevada 89052 (the “Buyer”), and Bio-Matrix
Scientific Group, Inc., a Delaware corporation with principal
address at 8885 Rehco Road, San Diego, California
92121 (the “Seller”). As used in this
Agreement, the term, “Parties” shall refer to the Buyer
and the Seller jointly.
WHEREAS:
A. Seller
desires to sell and transfer to Buyer, all of the outstanding
common stock of Entest Biomedical, Inc., a California corporation
(the “Subsidiary Stock”) for a total purchase price of
Ten Million (10,000,000) shares of the common stock of Buyer (the
“Purchase Price”).
B. The
Buyer desires to purchase the Subsidiary Stock for the Purchase
Price.
C. The
Parties have completed their negotiations and subject to the terms
and conditions set forth herein, hereby enter into this
Agreement.
THERFORE, IT IS
AGREED AS FOLLOWS:
“Affiliate” means, with respect to any specified Person, a
Person that directly or indirectly, through one or more
intermediaries, controls or is controlled by, or is under common
control with, the Person specified.
“Stockholder”
means Rick Plote.
“Shares to be Cancelled”
means the cancellation of Ten
Million (10,000,000) shares of the common stock of Buyer issued to,
owned by, and registered in the name of Rick Plote.
“Entest” means Entest Biomedical, Inc., a California
corporation
“Liability” means any liability (whether known or unknown,
whether asserted or unasserted, whether absolute or contingent,
whether accrued or unaccrued, whether liquidated or unliquidated,
and whether due or to become due), including any liability for
Taxes.
“Contract” means any contract, lease, commitment,
understanding, sales order, purchase order, agreement, indenture,
mortgage, note, bond, right, warrant, instrument, plan, permit or
license, whether written or oral, which is intended or purports to
be binding and enforceable.
“Person” means an individual, a partnership, a
corporation, an association, a joint stock company, a trust, a
joint venture, an unincorporated organization, or a governmental
entity (or any department, agency, or political subdivision
thereof).
“Purchase Price”
means Ten Million (10,000,000)
shares of the Stock of Buyer as issued by Buyer to Seller with each
stock certificate representing said shares to contain a restricted
securities legend in accordance with the Securities Act.
“
Shares ” means all of the outstanding shares of the
common stock of Entest owned and held by the Seller with each stock
certificate representing the Shares to contain a restricted
securities legend in accordance with the Securities Act.
“Permitted Liabilities”
means Liabilities owed to trade
creditors, to governmental entities for payroll and personal
property taxes and other like Liabilities incurred in the Ordinary
Course of Business not in excess of One Thousand Dollars
($1,000).
“Material Adverse Effect”
shall mean any circumstances,
developments or matters whose effect on the Business any of the
Buyer, properties, assets, results, operations, conditions
(financial and other) and prospects, either alone or in the
aggregate, is or would reasonably be expected to be materially
adverse.
“Environmental Laws”
mean all federal, state, provincial,
local and foreign statutes, regulations, ordinances and other
provisions having the force or effect of law, all judicial and
administrative orders and determinations, all contractual
obligations and all common law concerning public health and safety,
worker health and safety, and pollution or protection of the
environment including, without limitation, all those relating to
the presence, use, production, generation, handling,
transportation, treatment, storage, disposal, distribution,
labeling, testing, processing, discharge, release, threatened
release, control, or cleanup of any Hazardous Substances, materials
or wastes, chemical substances or mixtures, pesticides, pollutants,
contaminants, toxic chemicals, petroleum products or byproducts,
asbestos, polychlorinated biphenyls, noise or radiation, each as
amended and as now or hereafter in effect, including (but not
limited to) the Comprehensive Environmental Response, Compensation
and Liability Act of 1980, the Superfund Amendments and
Reauthorization Act of 1986, as amended, the Resource Conservation
and Recovery Act of 1976, as amended, the Toxic Substances Control
Act of 1976, as amended, the Federal Water Pollution Control Act
Amendments of 1972, the Clean Water Act of 1977, as amended, and
the Waste Management Act, R.S.B.C. 1996 c. 482; Canadian
Environmental Protection Act, 1999; S.C. 1999, c. 33 and any
regulations thereto, each as amended, any so-called
“Superlien” law, and any other similar federal, state,
provincial or local statutes.
“Employee” means each employee and leased employee
regardless of whether the term is initially capitalized.
“Employee Benefit Plan”
means any (a) nonqualified deferred
compensation or retirement plan or arrangement, (b) qualified
defined contribution retirement plan or arrangement which is an
Employee Pension Benefit Plan, (c) qualified defined benefit
retirement plan or arrangement which is an Employee Pension Benefit
Plan (including any Multiemployer Plan), or (d) Employee Welfare
Benefit Plan or material fringe benefit or other retirement, bonus,
or incentive plan or program.
“Employee Pension Benefit
Plan” has the
meaning set forth in ERISA §3(2).
“Employee Welfare Benefit
Plan” has the
meaning set forth in ERISA §3(1).
“Tax” means any federal, state, local, or foreign
income, gross receipts, license, payroll, employment, excise,
severance, stamp, occupation, premium, windfall profits,
environmental , customs duties, capital stock, franchise, profits,
withholding, social security (or similar), unemployment,
disability, real property, personal property, sales, use, transfer,
registration, value added, alternative or add-on minimum,
estimated, or other tax of any kind whatsoever, including any
interest, penalty, or addition thereto, whether disputed or
not.
“Tax
Return” means any
return, declaration, report, claim for refund, or information
return or statement relating to Taxes, including any schedule or
attachment thereto, and including any amendment thereof.
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ESCROW. On or
before June 16, 2009 , each of the Parties shall execute and
deliver an executed copy of the Escrow Agreement to the Escrow
Agent and perform all of the duties set forth in the Escrow
Agreement attached hereto as Exhibit A.
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SHARES TO BE
CANCELLED. On or before June 19, 2009 , Stockholder shall
deliver to the Escrow Agent, one or more stock certificates
representing the Shares to be Cancelled with instructions
authorizing and instructing the Escrow Agent to deliver the Shares
to be Cancelled to the Company’s stock transfer agent so that
the same may be returned and cancelled.
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THE CLOSING.
The closing of this Transaction (the “Closing”) shall
take place at the offices of Law Offices of Joseph Pittera
commencing at 10:00 a.m. Pacific Time three (3)
business day following the satisfaction or waiver of all conditions
to the obligations of the parties to consummate this Transaction
(other than conditions with respect to actions the respective
parties will take at the Closing itself) or such other date as the
parties may mutually determine (the “Closing Date”). It
is the intent of the parties that the Buyer shall assume control of
Entest immediately after the Closing.
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REPRESENTATIONS
OF THE SELLER.
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Authorization
of Transaction. The Seller has full power and authority to execute
and deliver this Agreement and to perform his obligations
hereunder. This Agreement constitutes the valid and legally binding
obligation of the Seller, enforceable in accordance with its terms
and conditions. The Seller need not give any notice to, make any
filing with, or obtain any authorization, consent, or approval of
any government or governmental agency in order to consummate this
Transaction.
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Brokers’
Fees. Neither the Seller nor Entest has any Liability or obligation
to pay any fees or commissions to any broker, finder, or agent with
respect to this Transaction for which the Buyer could become liable
or obligated.
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Shares. The
Seller holds of record and owns beneficially all of the Shares,
free and clear of any restrictions on transfer (other than any
restrictions under the Securities Act and state securities Laws),
Taxes, Liens, options, warrants, purchase rights, Contracts,
commitments, equities, claims, and demands. The Seller is not a
party to any option, warrant, purchase right, or other Contract or
commitment that could require the Seller to sell, transfer, or
otherwise dispose of any Shares (other than this Agreement). The
Seller is not a party to any voting trust, proxy, or other
agreement or understanding with respect to the voting of any
Shares.
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Entest is a
corporation duly organized, valid and existing under the Laws of
California. Entest is duly authorized to conduct business and is in
good standing under the Laws of each jurisdiction except where the
failure to be so qualified would not have a Material Adverse Effect
on Entest. Entest has full corporate power and authority and all
licenses, Permits, and authorizations necessary to carry on the
Business in which it is engaged and to own and use the properties
owned and used by it. Entest is not in default under or in
violation of any provision of its articles of incorporation or
bylaws.
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The entire
authorized capital stock of Entest consists of 100,000,000 shares
of common stock, $0.00001 par value, of which 1,500 shares are
issued and outstanding and no shares are unissued. All of the
issued and outstanding Shares of Entest have been duly authorized,
are validly issued, fully paid, and nonassessable, and are held of
record by the Seller. There are no outstanding or authorized
options, warrants, purchase rights, subscription rights, conversion
rights, exchange rights, or other Contracts or commitments that
could require Entest to issue, sell, or otherwise cause to become
outstanding any of the Shares of Entest. There are no outstanding
or authorized stock appreciation, phantom stock, profit
participation, or similar rights with respect to the Shares of
Entest. There are no voting trusts, proxies, or other agreements or
understandings with respect to the voting of the Shares of
Entest.
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The
assignments, endorsements, stock powers and other instruments of
transfer delivered by the Seller to the Buyer at the Closing will
be sufficient to transfer the Seller’s entire interest, legal
and beneficial, in the Shares and, after such transfer, the Buyer
shall own all of the Shares. The Seller has full power and
authority (including full corporate power and authority) to convey
good and marketable title to all of the Shares, and upon transfer
to the Buyer of the certificates representing such Shares, the
Buyer will receive good and marketable title to such Shares, free
and clear of all Liens.
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Noncontravention. Neither the execution and the
delivery of this Agreement, nor the consummation of this
Transaction will (i) violate any constitution, Law, regulation,
rule, injunction, judgment, order, decree, ruling, charge, or other
restriction of any government, governmental agency, or court to
which Entest is subject or any provision of the articles
of incorporation or bylaws of Entest, or (ii) conflict
with, result in a breach of, constitute a default under, result in
the acceleration of, create in any party the right to accelerate,
terminate, modify, or cancel, or require any notice under any
Contract, lease, license, instrument, or other arrangement to
which Entest is a party or by which it is bound or to
which any of its assets is subject (or result in the imposition of
any Lien upon any of its assets).
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6.
REPRESENTATIONS OF THE BUYER.
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Organization of
the Buyer and Capital Stock. The Buyer is a corporation duly
organized, validly existing, and in good standing under the laws of
the State of Nevada and legally authorized to do business in the
states in which it conducts business. The Buyer is not in default
under or in violation of any provi
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