Attached files
| file | filename |
|---|---|
| 8-K - FORM 8K - VERTICAL HEALTH SOLUTIONS INC | form8k-114589_vertcal.htm |
| EX-10.3 - EXHIBIT 10.3 - VERTICAL HEALTH SOLUTIONS INC | ex10-3.htm |
| EX-99.1 - EXHIBIT 99.1 - VERTICAL HEALTH SOLUTIONS INC | ex99-1.htm |
| EX-21.1 - EXHIBIT 21.1 - VERTICAL HEALTH SOLUTIONS INC | ex21-1.htm |
| EX-17.1 - EXHIBIT 17.1 - VERTICAL HEALTH SOLUTIONS INC | ex17-1.htm |
| EX-10.1 - EXHIBIT 10.1 - VERTICAL HEALTH SOLUTIONS INC | ex10-1.htm |
| EX-17.3 - EXHIBIT 17.3 - VERTICAL HEALTH SOLUTIONS INC | ex17-3.htm |
| EX-10.5 - EXHIBIT 10.5 - VERTICAL HEALTH SOLUTIONS INC | ex10-5.htm |
| EX-10.2 - EXHIBIT 10.2 - VERTICAL HEALTH SOLUTIONS INC | ex10-2.htm |
| EX-10.4 - EXHIBIT 10.4 - VERTICAL HEALTH SOLUTIONS INC | ex10-4.htm |
| EX-17.2 - EXHIBIT 17.2 - VERTICAL HEALTH SOLUTIONS INC | ex17-2.htm |
Exhibit 99.2
Vertical Health Solutions, Inc.
Pro Forma Combined Financial Statements and Footnotes
The accompanying pro forma combined financial statements present the historical financial information of Vertical Health Solutions, Inc. (VHS), as adjusted for the planned acquisition of OnPoint Medical Diagnostics, Inc. (OnPoint). For financial reporting purposes, the business consolidation is to be accounted for as an additional capitalization of OnPoint with OnPoint as the acquirer (reverse merger). The operations of OnPoint will be the continuing operations of VHS.
The accompanying pro forma combined balance sheet presents the historical financial information of VHS and OnPoint as of December 31, 2010, as adjusted for the merger of OnPoint, accounted for as a reverse merger.
The accompanying pro forma combined statements of operations for the year ended December 31, 2010, combines the historical financial information of OnPoint for the year ended December 31, 2010 with the historical information of VHS for the year ended December 31, 2010 respectively, as if the acquisition had occurred January 1, 2010.
The pro forma combined financial statements have been prepared by management based on the historical financial statements of VHS and OnPoint. These pro forma combined financial statements may not be indicative of the results that actually would have occurred if the combination had been in effect on the dates indicated or which may be obtained in the future. The pro forma combined financial statements should be read in conjunction with the historical financial statements of VHS for the year ended December 31, 2010 and with the historical financial statements of OnPoint for the year ended December 31, 2010.
| Vertical Health Solutions, Inc. |
| Pro Forma Combined Balance Sheets |
| December 31, 2010 |
|
Vertical Health
|
OnPoint Medical
|
Pro Forma
|
Pro Forma
|
|||||||||||||||||
|
Solutions, Inc.
|
Diagnostics, Inc.
|
Adjustments
|
Notes
|
Combined
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||||||||||||||||
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(audited)
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(audited)
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(unaudited)
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(unaudited)
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ASSETS
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Current Assets:
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Cash
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$ | 4,856 | $ | 330,803 | $ | - |
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$ | 335,659 | |||||||||||
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Prepaid expenses and other current assets
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- | 24,051 | - | 24,051 | ||||||||||||||||
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Total current assets
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4,856 | 354,854 | - | 359,710 | ||||||||||||||||
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Property and equipment, net
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- | 4,537 | - | 4,537 | ||||||||||||||||
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Intangible assets, net
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- | 238,168 | - | 238,168 | ||||||||||||||||
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Total assets
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$ | 4,856 | $ | 597,559 | $ | - | $ | 602,415 | ||||||||||||
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LIABILITIES AND STOCKHOLDERS' EQUITY (DEFICIT)
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Current Liabilities:
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Accounts payable
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$ | 34,901 | $ | 73,974 | $ | - | $ | 108,875 | ||||||||||||
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Accrued expenses, related parties
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41,967 | - | (41,215 | ) | 1 | 752 | ||||||||||||||
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Notes payable
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125,000 | - | (125,000 | ) | 1 | - | ||||||||||||||
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Accrued interest
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- | 13,467 | - | 13,467 | ||||||||||||||||
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Accrued payroll
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- | 4,682 | - | 4,682 | ||||||||||||||||
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Current maturities, long term
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convertible debt
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- | 205,625 | - | 205,625 | ||||||||||||||||
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Total current liabilities
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201,868 | 297,748 | (166,215 | ) | 333,401 | |||||||||||||||
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Long term convertible debt, net of current maturities
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- | 616,875 | - | 616,875 | ||||||||||||||||
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Total liabilities
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201,868 | 914,623 | (166,215 | ) | 950,276 | |||||||||||||||
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Stockholders’ Equity (Deficit):
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Common stock
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44,476 | 71,431 | 133,425 | 1 | 8,228 | |||||||||||||||
| (176,816 | ) | 2 | ||||||||||||||||||
| (64,288 | ) | 4 | ||||||||||||||||||
|
Additional paid in capital
|
2,771,852 | 1,862,671 | 32,790 | 1 | 1,895,077 | |||||||||||||||
| (3,013,340 | ) | 3 | ||||||||||||||||||
| 176,816 | 2 | |||||||||||||||||||
| 64,288 | 4 | |||||||||||||||||||
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Accumulated deficit
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(3,013,340 | ) | (2,251,166 | ) | 3,013,340 | 3 | (2,251,166 | ) | ||||||||||||
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Total stockholders’ equity (deficit)
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(197,012 | ) | (317,064 | ) | 166,215 | (347,861 | ) | |||||||||||||
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Total liabilities and stockholders’ equity (deficit)
|
$ | 4,856 | $ | 597,559 | $ | - | $ | 602,415 | ||||||||||||
|
Vertical Health Solutions, Inc.
|
|
Pro Forma Combined Statement of Operations
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For the year ended December 31, 2010
|
|
Vertical Health
|
OnPoint Medical
|
Pro Forma
|
Pro Forma
|
||||||||||||||
|
Solutions, Inc.
|
Diagnostics, Inc.
|
Adjustments
|
Notes
|
Combined
|
|||||||||||||
|
(audited)
|
(audited)
|
(unaudited)
|
(unaudited)
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||||||||||||||
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Sales
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$ | - | $ | - | $ | - | $ | - | |||||||||
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Cost of goods sold
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- | - | - | - | |||||||||||||
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Gross profit
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- | - | - | - | |||||||||||||
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Operating expenses:
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Selling, general and administrative
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80,576 | 1,109,080 | - | 1,189,656 | |||||||||||||
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Research and development
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- | 69,815 | - | 69,815 | |||||||||||||
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Total operating expenses
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80,576 | 1,178,895 | - | 1,259,471 | |||||||||||||
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Operating loss before other income and expense
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(80,576 | ) | (1,178,895 | ) | - | (1,259,471 | ) | ||||||||||
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Other income (expense):
|
|||||||||||||||||
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Interest income
|
- | 187 | - | 187 | |||||||||||||
|
Interest expense
|
- | (13,690 | ) | - | (13,690 | ) | |||||||||||
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Total other income (expense)
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- | (13,503 | ) | - | (13,503 | ) | |||||||||||
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Loss before income taxes
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(80,576 | ) | (1,192,398 | ) | - | (1,272,974 | ) | ||||||||||
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Income tax provision
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- | - | - | - | |||||||||||||
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Net loss
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$ | (80,576 | ) | $ | (1,192,398 | ) | $ | - | $ | (1,272,974 | ) | ||||||
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Basic and diluted loss per share
|
$ | (0.15 | ) | ||||||||||||||
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Basic and diluted weighted average number of common
|
|||||||||||||||||
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shares outstanding
|
8,227,869 | ||||||||||||||||
Vertical Health Solutions, Inc.
Notes to the Pro Forma Combined Financial Statements
(Unaudited)
Note 1 - Basis of Presentation
The accompanying pro forma combined financial statements are presented to reflect the acquisition of OnPoint Medical Diagnostics, Inc. (OnPoint) by Vertical Health Solutions, Inc. (VHS) with the operations of OnPoint being the continuing operations of the combined entities. For accounting purposes, the acquisition has been treated as a recapitalization of OnPoint with OnPoint as the acquirer (reverse acquisition).
The accompanying pro forma combined balance sheet as of December 31, 2010 has been prepared to give effect to the reverse acquisition of OnPoint by VHS as if the acquisition occurred on December 31, 2010. The accompanying pro forma combined statement of operations combines the historical operations of VHS and OnPoint for the 12 months ended December 31, 2010, as if the acquisition had occurred on January 1, 2010.
Note 2 - Pro forma adjustments
The unaudited pro forma combined financial statements reflect the following pro forma adustments:
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1
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Prior to the reverse merger, certain VHS liabilities ($166,215) will be converted into shares of VHS common stock totaling 133,425,011.
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2
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Following the VHS liabilities being converted to VHS stock, VHS will have a 1 for 164 stock split to have only 1,084,756 common shares outstanding immediately prior to the merger closing.
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3
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As a result of the reverse acquisition, VHS accumulated deficit will be eliminated and offset against additional paid in capital.
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4
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As part of the reverse acquisition, OnPoint shareholders will receive 7,143,113 shares of VHS stock and, post merger, there will be 8,227,869 shares ($.001 par value) outstanding. All of the common shares ($.01 par value) of OnPoint will simultaneously be retired.
|