Unaudited Pro Forma Condensed Combined Financial Data
EXHIBIT 99.4
Unaudited Pro Forma Condensed Combined Financial Data
On April 12, 2013, Life Nutrition Products, Inc. (the “Registrant”), a Delaware corporation was entered into a Share Exchange Agreement (the “Exchange Agreement”) with Almonds Kisses Limited (“Almonds Kisses”), a corporation incorporated under the laws of the British Virgin Islands, and the shareholders of Almonds Kisses (the “Shareholders”). Prior to the share exchange, Xxxxxxx Xxxxxx’s issued 50,000 shares with par value of $1.00 to former shareholders of the Company and the Company held issued and outstanding of 4,095,000 shares with par value of $0.0001. There shall be a total of 2,000,000 shares out of the 4,095,000 shares of common stock sold to individual shareholders at a selling price of $0.1 per share, receiving a total of $200,000. Pursuant to the terms of the Exchange Agreement, the Company would issue an additional of 20,905,000 shares of common stock, thus there shall be a total of 25,000,000 shares of common stock issued and outstanding. The shareholders of Xxxxxxx Xxxxxx agreed to transfer all of the issued and outstanding shares of common stock in Almond Kisses to the Company in exchange for the Company’s issuing 20,155,000 ordinary shares of the Company’s capital stock to the Almonds Kisses shareholders. There shall be 750,000 shares of common stock out of the newly issued shares issued to settle the amount due to shareholders amounted to $228,136 being the notes payable, accounts payable and accrued expenses of the Company settled. After the share exchange, the original shareholders of the Company will hold a total of 2,845,000 shares of common stock.
The following presents our unaudited pro forma financial information as of August 31, 2012 and for the period ended August 31, 2012, another set of pro forma financial information is as of February 28, 2013 and for the period ended February 28, 2013. The unaudited pro forma financial information is for informational purposes only and does not purport to present what our results would actually have been had these transactions actually occurred on the dates presented or to project our results of operations or financial position for any future period.
1
Life Nutrition Products Inc.
Unaudited Pro Forma Consolidated Balance Sheet as of August 31, 2012
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Life Nutrition Products Inc.
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Almonds Kisses
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Notes
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Pro Forma Adjustments
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Pro Forma Combined
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Assets:
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Current assets
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Cash
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$ | - | $ | 129,001 | $ | 129,001 | |||||||||||
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Prepaid expenses
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- | 18,518 | 18,518 | ||||||||||||||
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Total current assets
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- | 147,519 | 147,519 | ||||||||||||||
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Non-current assets
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Property and equipment, net
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- | 93,350 | 93,350 | ||||||||||||||
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Equity-method investment
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- | 379,693 | 379,693 | ||||||||||||||
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Intangible assets
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- | 974,359 | 974,359 | ||||||||||||||
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Utility and other deposits
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- | 36,299 | 36,299 | ||||||||||||||
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Total non-current assets
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- | 1,483,701 | 1,483,701 | ||||||||||||||
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TOTAL ASSETS
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$ | - | $ | 1,631,220 | $ | 1,631,220 | |||||||||||
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Liabilities and shareholders' equity
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Current liabilities
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Assets held under capital lease
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$ | - | $ | 9,615 | $ | 9,615 | |||||||||||
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Accrued liabilities
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68,088 | 25,937 |
(a)
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(68,088 | ) | 25,937 | |||||||||||
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Note payable
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160,038 | - |
(a)
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(160,038 | ) | - | |||||||||||
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Bank loans - current portion
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- | 919,392 | 919,392 | ||||||||||||||
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Total current liabilities
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228,126 | 954,944 | 954,944 | ||||||||||||||
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Non-current liabilities
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Bank loans - net of current portion
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- | 1,605,593 | 1,605,593 | ||||||||||||||
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Assets held under capital lease, net of current portion
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- | 4,984 | 4,984 | ||||||||||||||
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Total non-current liabilities
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- | 1,610,577 | 1,610,577 | ||||||||||||||
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Total liabilities
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228,126 | 2,565,521 | 2,565,521 | ||||||||||||||
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Stockholders' equity
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Preferred stock
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- | - | - | ||||||||||||||
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Common stock
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410 | 50,000 |
(a),(b),(c)
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(47,910 | ) | 2,500 | |||||||||||
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Subscription receivable
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- | (50,000 | ) |
(c)
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50,000 | - | |||||||||||
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Additional paid in capital
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427,939 | - |
(a),(b)
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(430,439 | ) | (2,500 | ) | ||||||||||
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Due from stockholders
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- | (241,036 | ) | (241,036 | ) | ||||||||||||
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Accumulated losses
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(656,475 | ) | (579,757 | ) |
(d)
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(656,475 | ) | (579,757 | ) | ||||||||
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Accumulated other comprehensive (losses)/income
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- | 31 | 31 | ||||||||||||||
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Total stockholders' equity
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(228,126 | ) | (820,762 | ) | (820,762 | ) | |||||||||||
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Non-controlling interest
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- | (113,539 | ) | (113,539 | ) | ||||||||||||
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TOTAL LIABILITIES AND STOCKHOLDERS' EQUITY
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$ | - | $ | 1,631,220 | $ | 1,631,220 | |||||||||||
See notes to Unaudited Pro Forma Consolidated Financial Statements.
2
Life Nutrition Products Inc.
Unaudited Pro Forma Consolidated Statements of Operations For the Period Ended August 31, 2012
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Life Nutrition Products Inc.
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Almonds Kisses
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Notes
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Pro Forma Adjustments
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Pro Forma Combined
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Revenue
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$ | - | $ | 1,705,024 | $ | 1,705,024 | |||||||||||
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Less: Operating expenses
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Direct cost of revenue
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- | (1,308,729 | ) | (1,308,729 | ) | ||||||||||||
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General and administrative expenses
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(47,205 | ) | (533,861 | ) |
(e)
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47,205 | (533,861 | ) | |||||||||
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Total operating expenses
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(47,205 | ) | (1,842,590 | ) | (1,842,590 | ) | |||||||||||
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Operating loss
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(47,205 | ) | (137,566 | ) | (137,566 | ) | |||||||||||
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Other income and (expenses):
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Interest expenses
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3,685 | (47,754 | ) |
(e)
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3,685 | (47,754 | ) | ||||||||||
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Loss before income taxes
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(43,520 | ) | (185,320 | ) | (185,320 | ) | |||||||||||
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Less: Income tax expense
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- | - | - | ||||||||||||||
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Net loss before allocation of non-controlling interest
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$ | (43,520 | ) | $ | (185,320 | ) | $ | (185,320 | ) | ||||||||
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Net loss attributable to non-controlling interest
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- | 20,509 | 20,509 | ||||||||||||||
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Net loss attributable to common stockholders
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$ | (43,520 | ) | $ | (164,811 | ) | $ | (164,811 | ) | ||||||||
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Loss per share
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- Basic and diluted
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$ | (0.011 | ) | $ | (3.30 | ) | $ | (0.0066 | ) | ||||||||
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Weighted average common shares outstanding
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|||||||||||||||||
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- Basic and diluted
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4,095,000 | 50,000 | 25,000,000 | ||||||||||||||
See notes to Unaudited Pro Forma Consolidated Financial Statements
3
Life Nutrition Products Inc.
Unaudited Pro Forma Consolidated Balance Sheet as of February 28, 2013
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Life Nutrition Products Inc.
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Almonds Kisses
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Notes
|
Pro Forma Adjustments
|
Pro Forma Combined
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Assets:
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|||||||||||||||||
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Current assets
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|||||||||||||||||
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Cash
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$ | - | $ | 345,316 | $ | 345,316 | |||||||||||
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Account receivable
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123,304 | 123,304 | |||||||||||||||
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Bank fixed deposit
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128,220 | 128,220 | |||||||||||||||
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Prepaid expenses
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- | 70,454 | 70,454 | ||||||||||||||
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Advance to stockholders
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- | 1,889,386 | 1,889,386 | ||||||||||||||
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Total current assets
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- | 2,556,680 | 2,556,680 | ||||||||||||||
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Non-current assets
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|||||||||||||||||
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Property and equipment, net
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- | 211,483 | 211,483 | ||||||||||||||
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Equity-method investment
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- | 374,270 | 374,270 | ||||||||||||||
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Intangible assets
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- | 884,720 | 884,720 | ||||||||||||||
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Utility and other deposits
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- | 35,021 | 35,021 | ||||||||||||||
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Total non-current assets
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- | 1,505,494 | 1,505,494 | ||||||||||||||
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TOTAL ASSETS
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$ | - | $ | 4,062,174 | $ | 4,062,174 | |||||||||||
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Liabilities and shareholders' equity
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Current liabilities
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|||||||||||||||||
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Assets held under capital lease
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$ | - | $ | 4,909 | $ | 4,909 | |||||||||||
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Tax payable
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42,988 | 42,988 | |||||||||||||||
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Accrued liabilities
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82,535 | 151,114 |
(a)
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(82,535 | ) | 151,114 | |||||||||||
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Note payable
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160,038 | - |
(a)
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(160,038 | ) | - | |||||||||||
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Temporary receipts
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2,596 | 2,596 | |||||||||||||||
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Bank loans - current portion
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- | 1,371,383 | 1,371,383 | ||||||||||||||
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Total current liabilities
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242,573 | 1,572,990 | 1,572,990 | ||||||||||||||
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Non-current liabilities
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|||||||||||||||||
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Bank loans - net of current portion
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- | 2,789,947 | 2,789,947 | ||||||||||||||
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Assets held under capital lease, net of current portion
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- | 46,140 | 46,140 | ||||||||||||||
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Total non-current liabilities
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- | 2,836,087 | 2,836,087 | ||||||||||||||
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Total liabilities
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242,573 | 4,409,077 | 4,409,077 | ||||||||||||||
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Stockholders' equity
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|||||||||||||||||
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Preferred stock
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- | - | - | ||||||||||||||
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Common stock
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410 | 50,000 |
(a),(b),(c)
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(47,910 | ) | 2,500 | |||||||||||
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Subscription receivable
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- | (50,000 | ) |
(c)
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50,000 | - | |||||||||||
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Additional paid in capital
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427,939 | - |
(a),(b)
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(430,439 | ) | (2,500 | ) | ||||||||||
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Accumulated losses
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(670,922 | ) | (221,935 | ) |
(d)
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670,922 | (221,935 | ) | |||||||||
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Accumulated other comprehensive (losses)/income
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- | (84 | ) | (84 | ) | ||||||||||||
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Total stockholders' equity
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(242,573 | ) | (222,019 | ) | (222,019 | ) | |||||||||||
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|
|||||||||||||||||
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Non-controlling interest
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- | (124,884 | ) | (124,884 | ) | ||||||||||||
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TOTAL LIABILITIES AND STOCKERHOLDERS' EQUITY
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$ | - | $ | 4,062,174 | $ | 4,062,174 | |||||||||||
See notes to Unaudited Pro Forma Consolidated Financial Statements.
4
Life Nutrition Products Inc.
Unaudited Pro Forma Consolidated Statements of Operations For the Period ended February 28, 2013
|
Life Nutrition Products Inc.
|
Almonds Kisses
|
Notes
|
Pro Forma Adjustments
|
Pro Forma Combined
|
|||||||||||||
|
|
|||||||||||||||||
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Revenue
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$ | - | $ | 1,905,634 | $ | 1,905,634 | |||||||||||
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Less: Operating expenses
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|||||||||||||||||
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Direct cost of revenue
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- | (967,039 | ) | (967,039 | ) | ||||||||||||
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General and administrative expenses
|
(60,340 | ) | (486,355 | ) |
(e)
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60,340 | (486,355 | ) | |||||||||
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Total operating expenses
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(60,340 | ) | (1,453,394 | ) | (1,453,394 | ) | |||||||||||
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Operating (loss)/profit
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(60,340 | ) | 452,240 | 452,240 | |||||||||||||
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|
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Other income and (expenses):
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|||||||||||||||||
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Interest expenses
|
4,997 | (62,775 | ) |
(e)
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4,997 | (62,775 | ) | ||||||||||
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(Loss)/profit before income taxes
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(65,337 | ) | 389,465 | 389,465 | |||||||||||||
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Less: Income tax expense
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- | (42,988 | ) | (42,988 | ) | ||||||||||||
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Net (loss)/profit before allocation of non-controlling interest
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$ | (65,337 | ) | $ | 346,447 | $ | 346,447 | ||||||||||
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Net loss attributable to non-controlling interest
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- | 11,345 | 11,345 | ||||||||||||||
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Net (loss)/profit attributable to common stockholders
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$ | (65,337 | ) | $ | 357,822 | $ | 357,822 | ||||||||||
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Loss per share
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|||||||||||||||||
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- Basic and diluted
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$ | (0.02 | ) | $ | 7.16 | $ | 0.01 | ||||||||||
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Weighted average common shares outstanding
|
|||||||||||||||||
|
- Basic and diluted
|
4,095,000 | 50,000 | 25,000,000 | ||||||||||||||
See notes to Unaudited Pro Forma Consolidated Financial Statements
5
Pro Forma Adjustments and Eliminations
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(a)
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750,000 shares are issued by the Company at par value amounted to $75 to settle the notes payable and accrued liabilities of the Company amounted to August 31, 2012: $228,125, February 28: 2013: $242,573.
|
|
(b)
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A total of 20,905,000 shares of common stock are issued at $0.0001 par value per share amounted to $2,091. After netting off the 750,000 shares in adjustment (a), another 20,155,000 shares of $2,015 would be recorded in this adjustment.
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(c)
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Common stock of Almonds Kisses would be settled prior to the share exchange agreement.
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(d)
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Expenses amounted to $50,890 for the eight months period ended August 2012 and $65,337 for the period ended February 28, 2013 respectively, would be absorbed by the original shareholders upon the Share Exchange transactions.
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(e)
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Accumulated deficit of the Company would be absorbed by Xxxxxxx Xxxxxx as part of its additional paid in capital.
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(f)
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Financial data of the Company was based on its balances as of September 30, 2012 and it is assumed that the differences between the data as of August 31, 2012 and September 30, 2012 would be immaterial when preparing the unaudited pro forma statements as of August 31, 2012. Financial data of the Company was based on its balances as of December 31, 2012 and it is assumed that the differences between the data as of February 28, 2013 and December 31, 2012 would be immaterial when preparing the unaudited pro forma statements as of February 28, 2013.
|
Income/(loss) per share from Continuing Operations
Pro forma basic and diluted shares outstanding include the weighted average number of common shares outstanding for our company during the respective periods, in addition to the common stock issued (if applicable) as a result of the Share Exchange assuming they had been issued at the beginning of the period. The common stock issued (if applicable) in connection with the Share Exchange Transaction is assumed to be outstanding for the entire period presented.
6
