Attached files
| file | filename |
|---|---|
| EX-99.1 - ASIA EQUITY EXCHANGE GROUP, INC. | ex99-1.htm |
| EX-10.4 - ASIA EQUITY EXCHANGE GROUP, INC. | ex10-4.htm |
| 8-K/A - ASIA EQUITY EXCHANGE GROUP, INC. | form8-ka.htm |
Exhibit 99.2
ASIA EQUITY EXCHANGE GROUP, INC.
UNAUDITED PRO FORMA CONDENSED COMBINED FINANCIAL STATEMENTS
The following unaudited pro forma condensed combined financial statements give effect to the reverse merger transaction (the “Transaction”) between Asia Equity Exchange Group, Inc. (the “Company”, “AEEX”, “we”, “us”, or “our”) and Asia Equity Exchange Group Co., Ltd. (“AEEGCL”), a company incorporated pursuant to the laws of Samoa.
Pro Forma
Balance Sheet
As at March 31, 2016
(Unaudited)
| Aisa Equity | Aisa Equity | Proforma | ||||||||||||||
| Exchange Group, Inc. | Exchange Group, Inc. | Adjustments | Proforma | |||||||||||||
| March 31, 2016 | March 31, 2016 | (a) | As Adjusted | |||||||||||||
| ASSETS | ||||||||||||||||
| Current Assets | ||||||||||||||||
| Cash and cash equivalents | $ | - | $ | 68,305 | $ | $ | 68,305 | |||||||||
| Prepaid expenses | 4,163 | 8,142 | 12,305 | |||||||||||||
| Total Current Assets | 4,163 | 76,447 | - | 80,610 | ||||||||||||
| Intangible assets, net | - | 4,962 | 4,962 | |||||||||||||
| Property and equipment, net | - | 44,959 | 44,959 | |||||||||||||
| TOTAL ASSETS | $ | 4,163 | $ | 126,368 | $ | - | $ | 130,531 | ||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||
| Current Liabilities | ||||||||||||||||
| Accounts payable and accrued liabilities | $ | 251 | $ | - | $ | $ | 251 | |||||||||
| Amount due to a related party | 20,392 | 195,399 | 215,791 | |||||||||||||
| Income tax payable | - | 2,336 | 2,336 | |||||||||||||
| Other payables | - | 105,370 | 105,370 | |||||||||||||
| Total Current Liabilities | 20,643 | 303,105 | - | 323,748 | ||||||||||||
| TOTAL LIABILITIES | 20,643 | 303,105 | - | 323,748 | ||||||||||||
| STOCKHOLDERS’ DEFICIT | ||||||||||||||||
| Preferred stock, 1,000,000 shares authorized; par value $0.001, none issued and outstanding | - | - | - | |||||||||||||
| Common stock, 3,000,000,000 shares authorized; par value $0.001, 1,146,000,000 shares issued and 1,146,000,000 shares issued and outstanding, as adjusted. | 1,146,000 | - | 1,146,000 | |||||||||||||
| 1,000,000,000 shares authorized; par value $0.00001, 1,000,000,000 shares issued and outstanding, as of March 31, 2016, and none issued and outstanding, as adjusted. | - | 10,000 | (10,000 | ) | - | |||||||||||
| Subscription receivable | - | (10,000 | ) | 10,000 | - | |||||||||||
| Capital deficiency | (1,023,713 | ) | - | (138,767 | ) | (1,162,480 | ) | |||||||||
| Deficit | (138,767 | ) | (179,763 | ) | 138,767 | (179,763 | ) | |||||||||
| Reserve fund | - | 2,538 | 2,538 | |||||||||||||
| Accumulated other comprehensive income | - | 488 | 488 | |||||||||||||
| Total Stockholders’ Deficit | (16,480 | ) | (176,737 | ) | - | (193,217 | ) | |||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ DEFICIT | $ | 4,163 | $ | 126,368 | $ | - | $ | 130,531 | ||||||||
See notes to the unaudited pro forma combined financial statements
Pro Forma
Statement of Operations
Three Months Ended March 31, 2016
(Unaudited)
| Aisa Equity | Aisa Equity | |||||||||||||||
| Exchange Group, Inc. | Exchange Group, Inc. | Proforma | ||||||||||||||
| January 1 to | January 1 to | Adjustments | Proforma | |||||||||||||
| March 31, 2016 | March 31, 2016 | (a) | As Adjusted | |||||||||||||
| Revenue | $ | - | $ | - | $ | - | $ | - | ||||||||
| Cost of sales | - | - | - | - | ||||||||||||
| Gross Profit | - | - | - | - | ||||||||||||
| Operating Expenses | ||||||||||||||||
| General and administrative | - | 186,619 | - | 186,619 | ||||||||||||
| Professional fees | 6,849 | - | (6,849 | ) | - | |||||||||||
| Total Operating Expenses | 6,849 | 186,619 | (6,849 | ) | 186,619 | |||||||||||
| Loss from operations | (6,849 | ) | (186,619 | ) | 6,849 | (186,619 | ) | |||||||||
| Other income (loss) | - | - | - | - | ||||||||||||
| Provision for income taxes | - | 4,114 | - | 4,114 | ||||||||||||
| Net loss | $ | (6,849 | ) | $ | (182,505 | ) | $ | 6,849 | $ | (182,505 | ) | |||||
| Other comprehensive income, net of tax | ||||||||||||||||
| Exchange differences on translating foreign operations | - | 2,470 | - | 2,470 | ||||||||||||
| Total comprehensive loss for the period | $ | (6,849 | ) | $ | (180,035 | ) | $ | 6,849 | $ | (180,035 | ) | |||||
| Basic and diluted net loss per common share | $ | (0.00 | ) | $ | (0.00 | ) | ||||||||||
| Weighted average number of common shares outstanding – basic and diluted | 146,000,000 | 1,146,000,000 | ||||||||||||||
See notes to the unaudited pro forma combined financial statements
ASIA EQUITY EXCHANGE GROUP, INC.
NOTES TO THE UNAUDITED PRO FORMA CONDENSED COMBINED
FINANCIAL STATEMENTS
March 31, 2016
(Unaudited)
On November 30, 2015, the Company entered into a share exchange agreement (the “Exchange Agreement”) with AEEGCL. Pursuant to the Exchange Agreement, the Company agreed to issue one billion (1,000,000,000) restricted common shares of the Company to the owners of AEEGCL, which shall represent approximately 87% of the issued and outstanding common stock of the Company immediately after the Closing, in exchange for 100% of the shares and assets of AEEGCL (the “Share Exchange”). As a result of the Share Exchange, AEEGCL will become a wholly owned subsidiary (the “Subsidiary”) of the Company and there will be a change of control of the Company following the closing. There were no warrants, options or other equity instruments issued in connection with the share exchange agreement.
1. BASIS OF PRO FORMA PRESENTATION
The unaudited pro forma condensed combined balance sheets have been derived from the historical March 31, 2016 balance sheet of the Company after giving effect to the merger with AEEGCL. The pro forma balance sheet and statement of operations presents this transaction as if they had been consummated as of March 31, 2016 as required under Article 11 of Regulation S-X.
Historical financial information has been adjusted in the pro forma balance sheet to pro forma events that are: (1) directly attributable to the Share Exchange; (2) factually supportable; and (3) expected to have a continuing impact on the Company’s results of operations. This merger will be treated as a reverse acquisition, and therefore AEEGCL is treated as the accounting acquirer, such that the financial statements of AEEGCL immediately after the merger will become those of the Company. The pro forma adjustments presented in the pro forma condensed combined balance sheet and statement of operations are described in Note 2— Pro Forma Adjustments.
2. PRO FORMA ADJUSTMENTS
The adjustment included in the pro forma balance sheet and statement of operations is as follows:
| (a) | To eliminate the accumulated loss of AEEX incurred before the reverse acquisition. |