American Exploration Corporation (OTCPK: AEXP) entered into a letter of intent to acquire 90% stake in Celtic Biotech Ltd. in May 2013. American Exploration made a deposit of $0.003 million in May 2013 and further made a deposit of $0.006 million in August 2013.

In a related transaction, Spotlight Innovation acquired American Exploration Corporation in a reverse merger transaction on December 10, 2013. As of December 31, 2013, Spotlight Innovation, Inc. (OTCPK: STLT) made deposits of $0.012 million to acquire 90% stake in Celtic Biotech. Spotlight Innovation will issue as full consideration under the acquisition agreement, 0.116 million Class B Preferred Shares of Spotlight Innovation, Inc.'s available preferred stock. The transaction is expected to close during the six months ended June 30, 2014.

Spotlight Innovation, Inc. entered into a share exchange agreement to acquire 95% stake in Celtic Biotech Ltd. for $2.2 million on June 4, 2014. Spotlight Innovation, Inc. issued 0.47 million shares of its Preferred B Stock as consideration. The preferred shares issued are convertible into common shares of Spotlight Innovation, Inc. on a one for one basis and are redeemable at Spotlight's option in five years at the stated par value of $5 per share. The transaction is subject to approval by the 95% shareholders of Celtic Biotech, resignations signed for all existing officers and Directors of Celtic Biotech and carrying due diligence review of Celtic Biotech.

Spotlight Innovation, Inc. completed the acquisition of 95% stake in Celtic Biotech Ltd. in June 2014.