Attached files
| file | filename |
|---|---|
| 8-K/A - 8-K/A - National Energy Services, Inc. | s101304_8ka.htm |
| EX-99.1 - EXHIBIT 99.1 - National Energy Services, Inc. | s101304_ex99-1.htm |
Exhibit 99.2
The following is pro forma information is as of December 31, 2013 that discloses the results of operations as though the business combination had been completed as of the beginning of the period being reported on.
| NATIONAL AUTOMATION SERVICES, INC., CONSOLIDATED PRO FORMA BALANCE SHEETS | NAS | Pro-forma Adjustments | Pro forma | |||||||||||||
| JD DEC 31, 2013 | DEC 31, 2013 | DEC 31, 2013 | DEC 31, 2013 | |||||||||||||
| (audited) | (audited) | (unaudited) | (unaudited) | |||||||||||||
| ASSETS | ||||||||||||||||
| CURRENT ASSETS | ||||||||||||||||
| Cash | $ | 4,182 | $ | 17,696 | $ | — | $ | 21,878 | ||||||||
| Accounts receivable | 2,771,567 | — | — | 2,771,567 | ||||||||||||
| Prepaid expenses | 252,026 | — | — | 252,026 | ||||||||||||
| Total current assets | 3,027,775 | 17,696 | — | 3,045,471 | ||||||||||||
| Property, plant and equipment, net | 15,219,702 | — | — | 15,219,702 | ||||||||||||
| Deferred financing fees, net | 29,402 | — | — | 29,402 | ||||||||||||
| Other assets, non-current | — | — | 12,773,886 | (1) | 12,773,886 | |||||||||||
| TOTAL ASSETS | $ | 18,276,879 | $ | 17,696 | $ | 12,773,886 | (1) | $ | 31,068,461 | |||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||
| CURRENT LIABILITIES | ||||||||||||||||
| Accounts payables and accrued liabilities | $ | 2,301,047 | $ | 2,452,798 | $ | — | $ | 4,753,845 | ||||||||
| Current portion of loans, capital leases and line of credit | 3,626,382 | 94,517 | — | 3,720,899 | ||||||||||||
| Convertible debt, net of beneficial conversion feature net of $920 and $5,989, respectively | — | 173,580 | — | 173,580 | ||||||||||||
| Related party payable | 782,784 | 172,173 | — | 954,957 | ||||||||||||
| Total current liabilities | 6,710,213 | 2,893,068 | — | 9,603,281 | ||||||||||||
| Long-term loans, capital leases and line of credit | 8,349,001 | 169,500 | — | 8,518,501 | ||||||||||||
| Long term portion of related party | 387,969 | — | — | 387,969 | ||||||||||||
| Total liabilities | 15,447,183 | 3,062,568 | — | 18,509,751 | ||||||||||||
| STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||
| Common stock $0.001 par value, 1,000,000,000 authorized, 3,079,936 issued and outstanding 2013 | 1,000 | 3,080 | (1,000 | )(1) | 3,080 | |||||||||||
| Additional paid in capital and distributions | (31,252 | ) | 12,671,481 | 31,252 | (1) | 12,671,481 | ||||||||||
| Stock payable | — | 375,172 | 3,540,000 | (1) | 3,915,172 | |||||||||||
| Accumulated income (deficit) | 2,859,948 | (16,094,605 | ) | 9,203,634 | (1) | (4,031,023 | ) | |||||||||
| Total stockholders’ equity (deficit) | 2,829,696 | (3,044,872 | ) | 12,773,886 | (1) | 12,558,710 | ||||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 18,276,879 | $ | 17,696 | $ | 12,773,886 | (1) | $ | 31,068,461 | |||||||
(1) – The adjustment noted in our pro-forma is noted as the equity value (of shares issued in our PSA) of the purchase of JD Field services by NAS. Per Business combination 144R we calculated the offset of purchase for JD and applied the adjustment to reflect the assumption of purchase as of January 1, 2013.
Exhibit 99.2
| NATIONAL AUTOMATION SERVICES, INC., CONSOLIDATED PRO FORMA STATEMENT OF OPERATIONS (unaudited) | YEAR ENDED DEC 31, 2013 | YEAR ENDED DEC 31, 2013 | YEAR ENDED DEC 31, 2013 | YEAR ENDED DEC 31, 2013 | ||||||||||||
| JD (audited) | NAS (audited) | Adjustments (unaudited) | Pro forma (unaudited) | |||||||||||||
| REVENUE | $ | 19,554,394 | $ | — | $ | — | $ | 19,554,394 | ||||||||
| Less: returns and allowances | (140,000 | ) | — | — | (140,000 | ) | ||||||||||
| NET REVENUE | 19,414,394 | — | — | 19,414,394 | ||||||||||||
| COST OF REVENUE | 16,936,050 | — | — | 16,936,050 | ||||||||||||
| GROSS PROFIT | 2,478,344 | — | — | 2,478,344 | ||||||||||||
| OPERATING EXPENSES | ||||||||||||||||
| Selling, general and administrative expenses | 1,714,958 | 177,790 | — | 1,892,748 | ||||||||||||
| Professional fees and related expenses | 63,843 | 463,626 | — | 527,469 | ||||||||||||
| Gain on accrued expense extinguishment | — | (435,446 | ) | — | (435,446 | ) | ||||||||||
| TOTAL OPERATING EXPENSES | 1,778,801 | 205,970 | — | 1,984,771 | ||||||||||||
| OPERATING INCOME (LOSS) | $ | 699,543 | $ | (205,970 | ) | $ | — | $ | 493,573 | |||||||
| OTHER EXPENSE, non-operating | ||||||||||||||||
| Gain on debt extinguishment | (181,425 | ) | (206,835 | ) | — | (388,260 | ) | |||||||||
| Loss on disposal of fixed asset | 1,213,285 | — | — | 1,213,285 | ||||||||||||
| Interest expense, net | 906,904 | 281,461 | — | 1,188,365 | ||||||||||||
| TOTAL OTHER EXPENSE, non-operating | 1,938,764 | 74,626 | — | 2,013,390 | ||||||||||||
| LOSS BEFORE PROVISION FOR INCOME TAXES | (1,239,221 | ) | (280,596 | ) | — | (1,519,817 | ) | |||||||||
| PROVISION FOR INCOME TAXES | — | — | — | — | ||||||||||||
| NET LOSS | $ | (1,239,221 | ) | $ | (280,596 | ) | $ | — | $ | (1,519,817 | ) | |||||
| BASIC LOSS PER SHARE | $ | — | $ | (0.13 | ) | $ | — | $ | (0.70 | ) | ||||||
| WEIGHTED AVERAGE COMMON SHARES OUTSTANDING BASIC & DILUTED | — | 2,160,449 | — | 2,160,449 | ||||||||||||
The Company finalized the valuation of acquisition effective February 24, 2014, which applied a valuation disclosure and accounting adjustment to intangible assets.