Dragon Legend Entertainment, Inc. entered into an agreement to acquire DGS Minerals Inc. in a reverse merger transaction on April 12, 2016. Under the terms of the agreement, DGS Minerals Inc. will issue 120 million shares. As a result of the acquisition, Dragon Legend will hold 84.11% on an undiluted basis of the issued and outstanding shares of DGS Minerals and the business of Dragon Legend shall become the business of DGS Minerals.

Post-acquisition, DGS Minerals Inc. will change its name to Dragon Legend Entertainment (Canada) Inc. David Chen, co-founder, Chairman and Director of Dragon Legend will serve to the Board of Directors of DGS Minerals. It is anticipated that Tai Chen and Craig Walker will resign from the Board of Directors and Louis Hua-Fu Pao and Michael Mairot will serve as directors. The remaining Directors and Officers of DGS Minerals are expected to remain unchanged.

The deal is subject to due diligence and regulatory approvals.