Attached files
| file | filename |
|---|---|
| EX-99.1 - EX-99.1 - Manitex International, Inc. | d272322dex991.htm |
| EX-2.1 - EX-2.1 - Manitex International, Inc. | d272322dex21.htm |
| 8-K - 8-K - Manitex International, Inc. | d272322d8k.htm |
Exhibit 99.2
UNAUDITED PRO FORMA CONSOLIDATED FINANCIAL STATEMENTS
On December 22, 2016, Manitex International, Inc. (the “Company”) completed the sale of its CVS Ferrari S.r.l. (“CVS”) subsidiary to two Italian companies BP S.r.l. and NEIP III S.p.A. (collectively the “Purchasers”) for $5 million in cash, and the assumption of $14 million of net CVS debt (the “Transaction”). The Transaction was consummated pursuant to a Sale and Purchase Agreement between the Company and the Purchasers. As part of the transaction, the Company retained the operations of CVS’s Valla division, which offers a full range of electric precision pick and carry cranes.
The unaudited pro forma consolidated balance sheet as of September 30, 2016 has been prepared to give effect to the sale of the CVS, while retaining the Valla division, as if it occurred on September 30, 2016. The unaudited pro forma consolidated statements of operations for the nine months ended September 30, 2016 and the year ended December 31, 2015 have been prepared to give effect to the sale of CVS, while retaining the Valla division, as if it occurred on January 1, 2015.
The unaudited pro forma financial statements were prepared utilizing our historical financial data derived from the interim consolidated financial statements included in our Quarterly Report on Form 10-Q filed with the Securities and Exchange Commission (“SEC”) on November 9, 2016 and from the audited consolidated financial statements for the year ended December 31, 2015 included in our Annual Report on Form 10-K filed with the SEC on March 1, 2016. Consistent with the requirements of Article 11 of Regulation S-X, the pro forma consolidated statement of operations have been presented on a continuing operations basis. The pro forma adjustments are described in the notes to the unaudited pro forma information and are based upon available information and assumptions that we believe are reasonable.
The unaudited pro forma financial statements included herein is for informational purposes only and is not necessarily indicative of what our financial performance and financial position would have been had the sale of the CVS, while retaining the Valla division, been completed on the dates assumed nor is such unaudited pro forma financial information necessarily indicative of the results to be expected in any future period. Actual results may differ significantly from those reflected here in the unaudited pro forma financial statements for various reasons, including but not limited to, the differences between the assumptions used to prepare the unaudited pro forma consolidated financial statements and actual results.
MANITEX INTERNATIONAL, INC. AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share data)
| September 30, 2016 | ||||||||||||
| As Reported | Proforma Adjustments | Proforma | ||||||||||
| Unaudited | Unaudited (a) | Unaudited | ||||||||||
| ASSETS | ||||||||||||
| Current assets |
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| Cash |
$ | 6,019 | $ | (1,982 | ) | $ | 4,037 | |||||
| Trade receivables (net) |
67,696 | (18,611 | ) | 49,085 | ||||||||
| Accounts receivable from related party |
770 | (1,751 | ) | (981 | ) | |||||||
| Other receivables |
4,575 | (1,240 | ) | 3,335 | ||||||||
| Inventory (net) |
106,992 | (10,061 | ) | 96,931 | ||||||||
| Deferred tax asset |
2,951 | (619 | ) | 2,332 | ||||||||
| Prepaid expense and other |
3,823 | — | 3,823 | |||||||||
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| Total current assets |
192,826 | (34,264 | ) | 158,562 | ||||||||
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| Total fixed assets (net) |
39,853 | (629 | ) | 39,224 | ||||||||
| Intangible assets (net) |
63,645 | (3,652 | ) (b) | 59,993 | ||||||||
| Goodwill |
77,186 | (5,663 | ) (b) | 71,523 | ||||||||
| Other long-term assets |
1,837 | 2,944 | 4,781 | |||||||||
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| Total assets |
$ | 375,347 | $ | (41,264 | ) | $ | 334,083 | |||||
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| LIABILITIES AND EQUITY | ||||||||||||
| Current liabilities |
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| Notes payable—short term |
$ | 42,175 | $ | (14,277 | ) | $ | 27,898 | |||||
| Current portion of capital lease obligations |
831 | — | 831 | |||||||||
| Accounts payable |
54,160 | (7,718 | ) | 46,442 | ||||||||
| Accounts payable related parties |
3,744 | (3,323 | ) | 421 | ||||||||
| Accrued expenses |
17,830 | (4,002 | ) | 13,828 | ||||||||
| Other current liabilities |
4,573 | (1,574 | ) | 2,999 | ||||||||
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| Total current liabilities |
123,313 | (30,894 | ) | 92,419 | ||||||||
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| Long-term liabilities |
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| Revolving term credit facilities |
36,753 | — | 36,753 | |||||||||
| Notes payable (net) |
60,500 | (3,639 | ) | 56,861 | ||||||||
| Capital lease obligations |
5,606 | — | 5,606 | |||||||||
| Convertible note related party (net) |
6,829 | — | 6,829 | |||||||||
| Convertible note (net) |
14,048 | — | 14,048 | |||||||||
| Deferred gain on sale of property |
1,087 | — | 1,087 | |||||||||
| Deferred tax liability |
4,438 | — | 4,438 | |||||||||
| Other long-term liabilities |
6,776 | (633 | ) | 6,143 | ||||||||
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| Total long-term liabilities |
136,037 | (4,272 | ) | 131,765 | ||||||||
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| Total liabilities |
259,350 | (35,166 | ) | 224,184 | ||||||||
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| Commitments and contingencies |
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| Equity |
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| Preferred Stock—Authorized 150,000 shares, no shares issued or outstanding at September 30, 2016 and December 31, 2015 |
— | — | — | |||||||||
| Common Stock—no par value 25,000,000 shares authorized, 16,138,163 and 16,072,100 shares issued and outstanding at September 30, 2016 and December 31, 2015, respectively |
93,775 | — | 93,775 | |||||||||
| Paid in capital |
3,036 | — | 3,036 | |||||||||
| Retained (earnings) deficit |
(4,296 | ) | (6,533 | ) | (10,829 | ) | ||||||
| Accumulated other comprehensive loss |
(2,823 | ) | 537 | (2,286 | ) | |||||||
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| Equity attributable to shareholders of Manitex International, Inc. |
89,692 | (5,996 | ) | 83,696 | ||||||||
| Equity attributable to noncontrolling interests |
26,305 | (102 | ) | 26,203 | ||||||||
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| Total equity |
115,997 | (6,098 | ) | 109,899 | ||||||||
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| Total liabilities and equity |
$ | 375,347 | $ | (41,264 | ) | $ | 334,083 | |||||
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MANITEX INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except for share and per share amounts)
| Nine Months Ended September 30, 2016 |
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| As Reported | Proforma Adjustments | Proforma | ||||||||||
| Unaudited | Unaudited (c) | Unaudited | ||||||||||
| Net revenues |
$ | 260,706 | $ | (36,553 | ) | $ | 224,153 | |||||
| Cost of sales |
216,953 | (31,313 | ) | 185,640 | ||||||||
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| Gross profit |
43,753 | (5,240 | ) | 38,513 | ||||||||
| Operating expenses |
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| Research and development costs |
3,911 | (231 | ) | 3,680 | ||||||||
| Selling, general and administrative expenses |
37,778 | (4,211 | ) | 33,567 | ||||||||
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| Total operating expenses |
41,689 | (4,442 | ) | 37,247 | ||||||||
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| Operating (loss) income |
2,064 | (798 | ) | 1,266 | ||||||||
| Other income (expense) |
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| Interest expense: |
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| Interest expense |
(8,719 | ) | 362 | (8,357 | ) | |||||||
| Interest expense related to write off of debt issuance costs (Note 13) |
(1,439 | ) | — | (1,439 | ) | |||||||
| Foreign currency transaction (loss) gain |
(792 | ) | (199 | ) | (991 | ) | ||||||
| Other income (expense) |
3,109 | (2,194 | ) | 915 | ||||||||
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| Total other expense |
(7,841 | ) | (2,031 | ) | (9,872 | ) | ||||||
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| (Loss) before income taxes and loss in non-marketable equity interest from continuing operations |
(5,777 | ) | (2,829 | ) | (8,606 | ) | ||||||
| Income tax (benefit) expense from continuing operations |
453 | (1,088 | ) | (635 | ) | |||||||
| Loss in non-marketable equity interest, net of taxes |
(5,752 | ) | — | (5,752 | ) | |||||||
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| Net loss from continuing operations |
(11,982 | ) | (1,741 | ) | (13,723 | ) | ||||||
| Discontinued operations |
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| (Loss) income from operations of discontinued operations (Note 19) |
(8,522 | ) | — | (8,522 | ) | |||||||
| Income tax expense (benefit) |
(186 | ) | — | (186 | ) | |||||||
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| (Loss) income on discontinued operations |
(8,336 | ) | — | (8,336 | ) | |||||||
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| Net (loss) income |
(20,318 | ) | (1,741 | ) | (22,059 | ) | ||||||
| Net income attributable to noncontrolling interests |
(566 | ) | 102 | (464 | ) | |||||||
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| Net (loss) income attributable to shareholders of Manitex International, Inc. |
$ | (20,884 | ) | $ | (1,639 | ) | $ | (22,523 | ) | |||
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| Earnings (loss) Per Share |
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| Basic |
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| Loss from continuing operations attributable to shareholders of Manitex International, Inc. |
$ | (0.78 | ) | $ | (0.88 | ) | ||||||
| (Loss) earnings from discontinued operations attributable to shareholders of Manitex International, Inc. |
$ | (0.52 | ) | $ | (0.52 | ) | ||||||
| (Loss) earnings attributable to shareholders of Manitex International, Inc. |
$ | (1.30 | ) | $ | (1.40 | ) | ||||||
| Diluted |
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| Loss from continuing operations attributable to shareholders of Manitex International, Inc. |
$ | (0.78 | ) | $ | (0.88 | ) | ||||||
| (Loss) income from discontinued operations attributable to shareholders of Manitex International, Inc. |
$ | (0.52 | ) | $ | (0.52 | ) | ||||||
| (Loss) earnings attributable to shareholders of Manitex International, Inc. |
$ | (1.30 | ) | $ | (1.40 | ) | ||||||
| Weighted average common shares outstanding |
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| Basic |
16,119,578 | 16,119,578 | ||||||||||
| Diluted |
16,119,578 | 16,119,578 | ||||||||||
MANITEX INTERNATIONAL, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except for share and per share amounts)
| Year Ended December 31, 2015 |
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| As Reported | Proforma Adjustments | Proforma | ||||||||||
| Unaudited | Unaudited (c) | Unaudited | ||||||||||
| Net revenues |
$ | 386,737 | $ | (67,187 | ) | $ | 319,550 | |||||
| Cost of sales |
317,231 | (56,516 | ) | 260,715 | ||||||||
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| Gross profit |
69,506 | (10,671 | ) | 58,835 | ||||||||
| Operating expenses |
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| Research and development costs |
5,829 | (609 | ) | 5,220 | ||||||||
| Selling, general and administrative expenses |
55,256 | (6,918 | ) | 48,338 | ||||||||
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| Total operating expenses |
61,085 | (7,527 | ) | 53,558 | ||||||||
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| Operating (loss) income |
8,421 | (3,144 | ) | 5,277 | ||||||||
| Other income (expense) |
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| Interest expense: |
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| Interest expense |
(12,984 | ) | 1,128 | (11,856 | ) | |||||||
| Interest expense related to write off of debt issuance costs (Note 13) |
— | — | — | |||||||||
| Foreign currency transaction (loss) gain |
30 | (366 | ) | (336 | ) | |||||||
| Other income (expense) |
23 | (23 | ) | — | ||||||||
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| Total other expense |
(12,931 | ) | 739 | (12,192 | ) | |||||||
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| (Loss) before income taxes and loss in non-marketable equity interest from continuing operations |
(4,510 | ) | (2,405 | ) | (6,915 | ) | ||||||
| Income tax (benefit) expense from continuing operations |
(725 | ) | (1,178 | ) | (1,903 | ) | ||||||
| Loss in non-marketable equity interest, net of taxes |
(199 | ) | — | (199 | ) | |||||||
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| Net loss from continuing operations |
(3,984 | ) | (1,227 | ) | (5,211 | ) | ||||||
| Discontinued operations |
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| (Loss) income from operations of discontinued operations (Note 19) |
(2,083 | ) | — | (2,083 | ) | |||||||
| Income tax expense (benefit) |
(743 | ) | — | (743 | ) | |||||||
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| (Loss) income on discontinued operations |
(1,340 | ) | — | (1,340 | ) | |||||||
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| Net (loss) income |
(5,324 | ) | (1,227 | ) | (6,551 | ) | ||||||
| Net income attributable to noncontrolling interests |
(48 | ) | — | (48 | ) | |||||||
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| Net (loss) income attributable to shareholders of Manitex International, Inc. |
$ | (5,372 | ) | $ | (1,227 | ) | $ | (6,599 | ) | |||
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| Earnings (loss) Per Share |
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| Basic |
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| Loss from continuing operations attributable to shareholders of Manitex International, Inc. |
$ | (0.25 | ) | $ | $ | (0.33 | ) | |||||
| (Loss) earnings from discontinued operations attributable to shareholders of Manitex International, Inc. |
$ | (0.08 | ) | $ | $ | (0.08 | ) | |||||
| (Loss) earnings attributable to shareholders of Manitex International, Inc. |
$ | (0.34 | ) | $ | $ | (0.41 | ) | |||||
| Diluted |
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| Loss from continuing operations attributable to shareholders of Manitex International, Inc. |
$ | (0.25 | ) | $ | $ | (0.33 | ) | |||||
| (Loss) income from discontinued operations attributable to shareholders of Manitex International, Inc. |
$ | (0.08 | ) | $ | $ | (0.08 | ) | |||||
| (Loss) earnings attributable to shareholders of Manitex International, Inc. |
$ | (0.34 | ) | $ | $ | (0.41 | ) | |||||
| Weighted average common shares outstanding |
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| Basic |
15,970,074 | 15,970,074 | ||||||||||
| Diluted |
15,970,074 | 15,970,074 | ||||||||||
Note 1—Description of Disposition of Assets
On December 22, 2016, Manitex International, Inc. (the “Company” or “Manitex”) completed the sale of CVS Ferrari S.r.l. (“CVS”) subsidiary to NEIP III S.p.A. (“NEIP”) and BP S.r.l. (“BP”) for net cash proceeds of approximately $5 million in cash and the assumption of $14 million net CVS debt.
Note 2—Pro Forma Adjustments
| (a) | Represents adjustments to reflect the disposition of the assets and liabilities associated with the transaction described above. |
| (b) | Represents adjustments to remove the goodwill and intangibles assets of the Company’s Lifting segment incurred in conjunction with the transaction described above. |
| (c) | Represents adjustments to eliminate the direct operating results of the CVS, net of the Valla division, for the periods presented. |