Attached files
| file | filename |
|---|---|
| EX-99.1 - EXHIBIT 99.1 - Modular Medical, Inc. | ex99_1.htm |
| EX-23.1 - EXHIBIT 23.1 - Modular Medical, Inc. | ex23_1.htm |
| EX-10.4 - EXHIBIT 10.4 - Modular Medical, Inc. | ex10_4.htm |
| EX-10.3 - EXHIBIT 10.3 - Modular Medical, Inc. | ex10_3.htm |
| EX-10.2 - EXHIBIT 10.2 - Modular Medical, Inc. | ex10_2.htm |
| EX-2.1 - EXHIBIT 2.1 - Modular Medical, Inc. | ex2_1.htm |
| 8-K - FORM 8-K - Modular Medical, Inc. | modular_8k.htm |
Exhibit 99.2
MODULAR MEDICAL, INC.
UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET
JUNE 30, 2016
| Quasuras | Modular Medical | Combined Historical | Proforma Adjustments | Combined Pro Forma | ||||||||||||||||||
| CURRENT ASSETS | ||||||||||||||||||||||
| Cash and cash equivalents | $ | 389,623 | $ | — | $ | 389,623 | #1 | $ | 375,000 | |||||||||||||
| #3 | (2,098 | ) | ||||||||||||||||||||
| #4 | (128,000 | ) | ||||||||||||||||||||
| #5 | 5,106,872 | $ | 5,741,397 | |||||||||||||||||||
| TOTAL ASSETS | $ | 389,623 | $ | — | $ | 389,623 | $ | 5,351,774 | $ | 5,741,397 | ||||||||||||
| CURRENT LIABILITIES | ||||||||||||||||||||||
| Accounts payable to related party | $ | — | $ | 62,671 | $ | 62,671 | $ | 62,671 | ||||||||||||||
| Payable to related party | 9,784 | 131,092 | 140,876 | #4 | (128,000 | ) | 12,876 | |||||||||||||||
| TOTAL LIABILITIES | 9,784 | 193,763 | 203,547 | (128,000 | ) | 75,547 | ||||||||||||||||
| STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||||||||
| Common stock | 500,000 | 1,250 | 501,250 | #1 | 2,900 | |||||||||||||||||
| #2 | (55 | ) | ||||||||||||||||||||
| #3 | (105 | ) | ||||||||||||||||||||
| #5 | 7,801 | |||||||||||||||||||||
| #6 | (2,900 | ) | ||||||||||||||||||||
| #7 | 7,582 | |||||||||||||||||||||
| #8 | (500,000 | ) | 16,473 | |||||||||||||||||||
| Additional paid in capital | (100,000 | ) | 82,828 | (17,172 | ) | #1 | 372,100 | |||||||||||||||
| #2 | 55 | |||||||||||||||||||||
| #3 | (1,993 | ) | ||||||||||||||||||||
| #5 | 5,099,071 | |||||||||||||||||||||
| #6 | 2,900 | |||||||||||||||||||||
| #7 | (7,582 | ) | ||||||||||||||||||||
| #8 | 222,159 | 5,669,537 | ||||||||||||||||||||
| Accumulated deficit | (20,161 | ) | (277,841 | ) | (298,002 | ) | 277,841 | (20,161 | ) | |||||||||||||
| TOTAL STOCKHOLDERS’ EQUITY (DEFICIT) | 379,839 | (193,763 | ) | 186,076 | 5,479,774 | 5,665,850 | ||||||||||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ | 389,623 | $ | — | $ | 389,623 | $ | 5,351,774 | $ | 5,741,397 | ||||||||||||
| Proforma Adjustments: | ||||||||||
| #1 | Cash | 375,000 | ||||||||
| Common stock | 2,900 | |||||||||
| APIC | 372,100 | |||||||||
| (for to the 2,900,000 shares sold to Manchester LLP for $375,000) | ||||||||||
| #2 | Common stock | 55 | ||||||||
| APIC | 55 | |||||||||
| (for the 544,900 shares of former directors cancelled) | ||||||||||
| #3 | Common stock | 105 | ||||||||
| APIC | 1,993 | |||||||||
| Cash | 2,098 | |||||||||
| (for the 104,916 shares owned by Thomas Howell cancelled in exchange for cash) | ||||||||||
| #4 | Payable to related party | 128,000 | ||||||||
| Cash | 128,000 | |||||||||
| (for the cash paid t Thomas Howell for the monies owed by the Company) | ||||||||||
| #5 | Cash | 5,106,872 | ||||||||
| APIC | 41,928 | |||||||||
| Common stock | 7,801 | |||||||||
| APIC | 5,140,999 | |||||||||
| (for the 7,801,212 shares issued for cash and $41,928 finance fee paid) | ||||||||||
| #6 | Common stock | 2,900 | ||||||||
| APIC | 2,900 | |||||||||
| (for the 2,900,000 shares cancelled) | ||||||||||
| #7 | APIC | 7,582 | ||||||||
| Common stock | 7,582 | |||||||||
| (for the 7,582,000 common shares issued for reverse merger) | ||||||||||
| #8 | Common stock | 500,000 | ||||||||
| APIC | (100,000 | ) | ||||||||
| Accumulated deficit | 277,841 | |||||||||
| APIC | 122,159 | |||||||||
| (for the reorganization) | ||||||||||
MODULAR MEDICAL, INC.
UNAUDITED PRO FORMA CONDENSED COMBINED INCOME STATEMENT
FOR THE YEAR ENDED JUNE 30, 2016
UNAUDITED
| Quasuras | Modular Medical | Combined Historial | Proforma Adjustments | Pro Forma | ||||||||||||||||
| Revenue, net | $ | — | $ | — | $ | — | — | $ | — | |||||||||||
| Operating expenses: | ||||||||||||||||||||
| Legal and professional | 17,401 | 17,401 | 17,401 | |||||||||||||||||
| General and administration expenses | 4,457 | 13,163 | 17,620 | 17,620 | ||||||||||||||||
| Total operating expenses | 21,858 | 13,163 | 35,021 | 35,021 | ||||||||||||||||
| Loss from operations | (21,858 | ) | (13,163 | ) | (35,021 | ) | (35,021 | ) | ||||||||||||
| Other income (expense) | ||||||||||||||||||||
| Interest income | 1,697 | — | 1,697 | 1,697 | ||||||||||||||||
| Interest expense | — | (17,921 | ) | (17,921 | ) | (17,921 | ) | |||||||||||||
| Total other income (expense) | 1,697 | (17,921 | ) | (16,224 | ) | (16,224 | ) | |||||||||||||
| Loss before income tax provision | (20,161 | ) | (31,084 | ) | (51,245 | ) | (51,245 | ) | ||||||||||||
| Income tax provision | — | — | — | — | ||||||||||||||||
| Net loss | $ | (20,161 | ) | $ | (31,084 | ) | $ | (51,245 | ) | $ | (51,245 | ) | ||||||||
| Earnings per share: | ||||||||||||||||||||
| Basic | $ | (0.003 | ) | $ | (0.025 | ) | $ | (0.01 | ) | $ | (0.00 | ) | ||||||||
| Diluted | $ | (0.003 | ) | $ | (0.025 | ) | $ | (0.01 | ) | $ | (0.00 | ) | ||||||||
| Weighted average number of shares outstanding: | ||||||||||||||||||||
| Basic | 8,000,000 | 1,249,816 | 9,249,816 | 6,733,396 | 15,983,212 | |||||||||||||||
| Diluted | 8,000,000 | 1,249,816 | 9,249,816 | 6,733,396 | 15,983,212 | |||||||||||||||
MODULAR MEDICAL, INC.
UNAUDITED PRO FORMA CONDENSED COMBINED INCOME STATEMENT
FOR THE NINE MONTH PERIOD ENDED MARCH 31, 2017
UNAUDITED
| Quasuras | Modular Medical | Combined Historial | Proforma Adjustments | Pro Forma | ||||||||||||||||
| Revenue, net | $ | — | $ | — | $ | — | — | $ | — | |||||||||||
| Operating expenses: | ||||||||||||||||||||
| Legal and professional | 7,505 | — | 7,505 | 7,505 | ||||||||||||||||
| General and administration expenses | 62 | 10,912 | 10,974 | 10,974 | ||||||||||||||||
| Total operating expenses | 7,567 | 10,912 | 18,479 | 18,479 | ||||||||||||||||
| Loss from operations | (7,567 | ) | (10,912 | ) | (18,479 | ) | (18,479 | ) | ||||||||||||
| Other income (expense) | ||||||||||||||||||||
| Interest income | 799 | — | 799 | 799 | ||||||||||||||||
| Interest expense | — | (15,508 | ) | (15,508 | ) | (15,508 | ) | |||||||||||||
| Total other income (expense) | 799 | (15,508 | ) | (14,709 | ) | (14,709 | ) | |||||||||||||
| Loss before income tax provision | (6,768 | ) | (26,420 | ) | (33,188 | ) | (33,188 | ) | ||||||||||||
| Income tax provision | 800 | — | 800 | 800 | ||||||||||||||||
| Net loss | (7,568 | ) | (26,420 | ) | (33,988 | ) | (33,988 | ) | ||||||||||||
| Loss per share: | ||||||||||||||||||||
| Basic | $ | (0.001 | ) | $ | (0.021 | ) | $ | (0.00 | ) | $ | (0.00 | ) | ||||||||
| Diluted | $ | (0.001 | ) | $ | (0.021 | ) | $ | (0.00 | ) | $ | (0.00 | ) | ||||||||
| Weighted average number of shares outstanding: | ||||||||||||||||||||
| Basic | 5,630,769 | 1,249,816 | 6,880,585 | 9,102,627 | 15,983,212 | |||||||||||||||
| Diluted | 5,630,769 | 1,249,816 | 6,880,585 | 9,102,627 | 15,983,212 | |||||||||||||||
Note 1 — Basis of presentation
The unaudited pro forma condensed combined financial statements are based on Modular Medical, Inc. and Quasuras, Inc.’s historical consolidated financial statements as adjusted to give effect to the Reorganization and Share Exchange Agreement. The unaudited pro forma combined statements of operations for the (i) nine months period ended March 31, 2017 for Modular Medical, Inc. with nine months ended December 31, 2016 for Quasuras, Inc.; and (ii) the 12 months ended June 30, 2016 for Modular Medical, Inc. with twelve months ended March 31, 2016 for Quasuras, Inc, give effect to the Reorganization and Share Exchange Agreement as if it had occurred on July 1, 2015. The unaudited pro forma combined balance sheet as of June 30, 2016 gives effect to the Reorganization and Share Exchange Agreement as if it had occurred on July 1, 2015.
Note 2 — Preliminary purchase price allocation
On July 24 2017, Modular Medical, Inc completed a Reorganization and Share Exchange Agreement, by and among, the Company, Paul M. DiPerna, the sole officer and director and the controlling stockholder of Quasuras Inc., a Delaware company (“Quasuras”), 2 other Quasuras Shareholders and Quasuras, Inc., the Company acquired all 4,400,000 shares of Quasuras’ common stock owned by the 3 Quasuras Shareholders (which represented 100% of the issued and outstanding shares of Quasuras) for 7,582,000 shares of our common stock, resulting in Quasuras becoming our wholly-owned subsidiary (the “Acquisition”) and Mr. DiPerna owning approximately 47% of our issued and outstanding common stock, after giving effect to the Private Placement (as defined below) and the Share Cancellation (as defined below). The unaudited pro forma condensed combined financial information includes various assumptions, including those related to the equity and accumulated deficit reorganization and preliminary liabilities reorganization based on management’s best estimates of fair value. Accordingly, the pro forma adjustments are preliminary and have been made solely for illustrative purposes.
Note 3 — Pro forma adjustments
The pro forma adjustments are based on our preliminary estimates and assumptions that are subject to change. The following adjustments have been reflected in the unaudited pro forma condensed combined financial information:
Adjustments to the pro forma condensed combined balance sheet
(1) Reflects the Common Stock Purchase Agreement dated as of April 5, 2017 by and among Manchester Explorer, LP, a Delaware limited partnership (“Manchester”), Modular Medical and certain person named therein (the “SPA”) Manchester purchased from Modular Medical (the “Control Block Acquisition”) 2,900,000 shares (the “Control Block”), of newly issued, restricted common stock, par value, $0.001, per share, for a purchase price of $375,000.
(2) Reflects the cancellation of 544,900 shares owned by the former directors.
(3) Reflects the cancellation of 104,916 shares owned by Thomas J. Howells in consideration of the payment of $2,098.32.
(4) Reflects the payment of $128,000 to Thomas Howell in satisfaction of amounts due to him.
(5) Reflects the 7,801,212 shares issued for cash and $41,928 finance fee paid.
(6) Reflects the cancellation of the 2,900,000 shares issued to Manchester Explorer LP.
(7) Reflects the 7,582,000 common shares issued for the reverse merger under the Reorganization and Share Exchange Agreement.
(8) Reflects the reorganization of equity.