EX-99.3 4 allure_ex993.htm PRO-FORMA FINANCIAL STATEMENTS allure_ex993.htm

EXHIBIT 99.3

   

Allure Worldwide, Inc.

Unaudited Pro Forma Condensed Combined Financial Statements

 

On May 27, 2022, Allure Worldwide, Inc. (“Allure”), completed the acquisition of all of the issued and outstanding common stock shares of Genvor Inc. (“Genvor”). The acquisition will be accounted for as a reverse recapitalization in accordance with GAAP. Accordingly, the acquisition is, in substance, a capital transaction and the accounting is similar to that resulting from a reverse acquisition, except that no goodwill or other intangible assets are recognized.

 

The following unaudited pro forma condensed combined financial statements and the related notes present the combination of the historical consolidated financial statements of Allure and Genvor, to give effect to the acquisition. See additional information in Note 1 – Basis of Presentation to the Unaudited Pro Forma Combined Financial Information

 

 
1

 

  

ALLURE WORLDWIDE, INC.

 

UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET

 

AS OF MARCH 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Historical

 

 

 

 

 

 

 

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Pro Forma

 

 

Pro Forma

 

 

 

 

3/31/2022

 

 

3/31/2022

 

 

Adjustments

 

 

Combined

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ASSETS

 

Current assets

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

 

$ -

 

 

$ 225,293

 

 

 

 

 

$ 225,293

 

Prepaid expenses

 

 

 

-

 

 

 

2,897

 

 

 

 

 

 

2,897

 

Prepaid costs for reverse capitalization

 

 

 

-

 

 

 

150,000

 

 

 

(150,000 )(a)

 

 

-

 

Total current assets

 

 

 

-

 

 

 

378,190

 

 

 

 

 

 

 

228,190

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Furniture and equipment, net

 

 

 

-

 

 

 

18,481

 

 

 

 

 

 

 

18,481

 

Receivables from related parties

 

 

 

-

 

 

 

35,579

 

 

 

(33,526 )(b)

 

 

2,053

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

 

$ -

 

 

$ 432,250

 

 

 

 

 

 

$ 248,724

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

 

$ 5,500

 

 

$ 12,170

 

 

 

 

 

 

$ 17,670

 

Accrued expenses

 

 

 

-

 

 

 

312,351

 

 

 

 

 

 

 

312,351

 

USDA CRADA liability

 

 

 

-

 

 

 

246,400

 

 

 

 

 

 

 

246,400

 

Commercial loan

 

 

 

-

 

 

 

48,750

 

 

 

 

 

 

 

48,750

 

Notes payable, short-term, net of $17,500 discount

 

 

 

-

 

 

 

1,378,500

 

 

 

 

 

 

 

1,378,500

 

Due to related party, Genvor

 

 

 

33,526

 

 

 

-

 

 

 

(33,526 )(b)

 

 

-

 

Due to related party, shareholder

 

 

 

3,846

 

 

 

-

 

 

 

 

 

 

 

3,846

 

Total current liabilities

 

 

 

42,872

 

 

 

1,998,171

 

 

 

 

 

 

 

2,007,517

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notes payable, long-term, net of $1,458 discount

 

 

 

-

 

 

 

273,542

 

 

 

 

 

 

 

273,542

 

Total liabilities

 

 

 

42,872

 

 

 

2,271,713

 

 

 

 

 

 

 

2,281,059

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders’ deficit

 

 

 

(42,872 )

 

 

(1,839,463 )

 

 

(150,000 )(a)

 

 

(2,032,335 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders’ deficit

 

 

$ -

 

 

$ 432,250

 

 

 

 

 

 

$ 248,724

 

 

 
2

 

 

ALLURE WORLDWIDE, INC.

 

UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET

 

AS OF SEPTEMBER 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Historical

 

 

 

 

 

 

 

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Pro Forma

 

 

Pro Forma

 

 

 

 

9/30/2021

 

 

9/30/2021

 

 

Adjustments

 

 

Combined

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

ASSETS

 

Current assets

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

 

$ -

 

 

$ 72,315

 

 

 

 

 

$ 72,315

 

Prepaid expenses

 

 

 

-

 

 

 

3,393

 

 

 

 

 

 

3,393

 

Total current assets

 

 

 

 

 

 

 

75,708

 

 

 

 

 

 

75,708

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Furniture and equipment, net

 

 

 

-

 

 

 

19,397

 

 

 

 

 

 

19,397

 

Receivables from related parties

 

 

 

-

 

 

 

18,239

 

 

 

(16,239 )(b)

 

 

2,000

 

Prepaid costs for reverse capitalization

 

 

 

-

 

 

 

150,000

 

 

 

(150,000 )(a)

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

 

$ -

 

 

$ 263,344

 

 

 

 

 

 

$ 97,105

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

 

$ 7,585

 

 

$ 25,734

 

 

 

 

 

 

$ 33,319

 

Accrued expenses

 

 

 

-

 

 

 

510,710

 

 

 

 

 

 

 

510,710

 

USDA CRADA liability

 

 

 

-

 

 

 

243,600

 

 

 

 

 

 

 

243,600

 

Commercial loan

 

 

 

-

 

 

 

48,750

 

 

 

 

 

 

 

48,750

 

Notes payable, short-term, net of $17,500 discount

 

 

 

-

 

 

 

1,403,500

 

 

 

 

 

 

 

1,403,500

 

Due to related party, Genvor

 

 

 

16,239

 

 

 

-

 

 

 

(16,239 )(b)

 

 

-

 

Due to related party, shareholder

 

 

 

3,846

 

 

 

4,330

 

 

 

 

 

 

 

8,176

 

Total current liabilities

 

 

 

27,670

 

 

 

2,236,624

 

 

 

 

 

 

 

2,248,055

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notes payable, long-term, net of $10,208 discount

 

 

 

-

 

 

 

489,792

 

 

 

 

 

 

 

489,792

 

Total liabilities

 

 

 

27,670

 

 

 

2,726,416

 

 

 

 

 

 

 

2,737,847

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders’ deficit

 

 

 

(27,670 )

 

 

(2,463,072 )

 

 

(150,000 )(a)

 

 

(2,640,742 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders’ deficit

 

 

$ -

 

 

$ 263,344

 

 

 

 

 

 

$ 97,105

 

 

 
3

 

 

ALLURE WORLDWIDE, INC.

 

UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET

 

AS OF SEPTEMBER 30, 2020

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Historical

 

 

 

 

 

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Pro Forma

 

 

Pro Forma

 

 

 

 

9/30/2020

 

 

9/30/2020

 

 

Adjustments

 

 

Combined

 

 

 

 

 

 

 

 

 

 

 

ASSETS

 

Current assets

 

 

 

 

 

 

 

 

 

 

 

 

 

Cash

 

 

$ -

 

 

$ 103,541

 

 

 

 

 

$ 103,541

 

Total current assets

 

 

 

 

 

 

 

103,541

 

 

 

 

 

 

103,541

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other assets

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Furniture and equipment, net

 

 

 

-

 

 

 

19,529

 

 

 

 

 

 

19,529

 

Receivables from related parties

 

 

 

-

 

 

 

2,000

 

 

 

 

 

 

2,000

 

Agromed patent

 

 

 

-

 

 

 

264,828

 

 

 

 

 

 

264,828

 

Right of use lease

 

 

 

-

 

 

 

18,535

 

 

 

 

 

 

18,535

 

Prepaid costs for reverse capitalization

 

 

 

-

 

 

 

10,000

 

 

 

(10,000 )(a)

 

 

-

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total assets

 

 

$ -

 

 

$ 418,433

 

 

 

 

 

 

$ 408,433

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

LIABILITIES AND STOCKHOLDERS’ DEFICIT

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Current liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accounts payable

 

 

$ 7,500

 

 

$ -

 

 

 

 

 

 

$ 7,500

 

Accrued expenses

 

 

 

6,000

 

 

 

187,474

 

 

 

 

 

 

 

193,474

 

USDA CRADA liability

 

 

 

-

 

 

 

173,600

 

 

 

 

 

 

 

173,600

 

Right of use lease liability

 

 

 

-

 

 

 

18,535

 

 

 

 

 

 

 

18,535

 

Commercial loan

 

 

 

-

 

 

 

48,750

 

 

 

 

 

 

 

48,750

 

Payable for patent

 

 

 

-

 

 

 

150,000

 

 

 

 

 

 

 

150,000

 

Notes payable, short-term

 

 

 

-

 

 

 

902,000

 

 

 

 

 

 

 

902,000

 

Due to related party, shareholder

 

 

 

3,846

 

 

 

3,575

 

 

 

 

 

 

 

7,421

 

Total current liabilities

 

 

 

17,346

 

 

 

1,483,934

 

 

 

 

 

 

 

1,501,280

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Long-term liabilities

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Notes payable, long-term

 

 

 

-

 

 

 

260,000

 

 

 

 

 

 

 

260,000

 

Total liabilities

 

 

 

17,346

 

 

 

1,743,934

 

 

 

 

 

 

 

1,761,280

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Stockholders’ deficit

 

 

 

(17,346 )

 

 

(1,325,501 )

 

 

(10,000 )(a)

 

 

(1,352,847 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Total liabilities and stockholders’ deficit

 

 

$ -

 

 

$ 418,433

 

 

 

 

 

 

$ 408,433

 

 

 
4

 

 

ALLURE WORLDWIDE, INC.

UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS

FOR THE SIX MONTH PERIOD ENDED MARCH 31, 2022

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Historical

 

 

 

 

 

 

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Pro Forma

 

 

Pro Forma

 

 

 

3/31/2022

 

 

3/31/2022

 

 

Adjustments

 

 

Combined

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$ -

 

 

$ -

 

 

 

 

 

$ -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Administrative costs

 

 

-

 

 

 

35,302

 

 

 

 

 

 

35,302

 

Contract payroll

 

 

-

 

 

 

143,225

 

 

 

 

 

 

143,225

 

Stock compensation

 

 

-

 

 

 

3,209,625

 

 

 

 

 

 

3,209,625

 

Meals and entertainment

 

 

-

 

 

 

24,023

 

 

 

 

 

 

24,023

 

Professional fees

 

 

10,000

 

 

 

77,758

 

 

 

 

 

 

87,758

 

Rent expense

 

 

-

 

 

 

20,607

 

 

 

 

 

 

20,607

 

Research and development

 

 

-

 

 

 

109,248

 

 

 

 

 

 

109,248

 

Travel expense

 

 

-

 

 

 

25,471

 

 

 

 

 

 

25,471

 

Total operating expenses

 

 

10,000

 

 

 

3,653,259

 

 

 

 

 

 

3,655,259

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss from operations

 

 

(10,000 )

 

 

(3,653,259 )

 

 

 

 

 

(3,655,259 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss on debt settlement

 

 

-

 

 

 

(5,000 )

 

 

 

 

 

(5,000 )

Interest expense

 

 

-

 

 

 

(61,002 )

 

 

 

 

 

(61,002 )

Late fee

 

 

-

 

 

 

(60,000 )

 

 

 

 

 

(60,000 )

Total other expense

 

 

-

 

 

 

(126,002 )

 

 

 

 

 

(126,002 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$ (10,000 )

 

$ (3,779,261 )

 

 

 

 

$ (3,781,261 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted net loss per common share

 

 

 

 

 

 

 

 

 

 

$

(0.14

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted weighted average common shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

 

26,783,329 

 

 

 
5

 

  

ALLURE WORLDWIDE, INC.

UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS

FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2021

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Historical

 

 

Pro Forma

 

Pro Forma

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Adjustments

 

Combined

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$ -

 

 

$ -

 

 

 

 

$ -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Administrative costs

 

 

23,824

 

 

 

54,044

 

 

 

 

 

77,868

 

Contract payroll

 

 

-

 

 

 

370,000

 

 

 

 

 

370,000

 

Stock compensation

 

 

-

 

 

 

7,583,903

 

 

 

 

 

7,583,903

 

Meals and entertainment

 

 

-

 

 

 

61,846

 

 

 

 

 

61,846

 

Professional fees

 

 

-

 

 

 

116,816

 

 

 

 

 

116,816

 

Rent expense

 

 

-

 

 

 

28,848

 

 

 

 

 

28,848

 

Research and development

 

 

-

 

 

 

169,484

 

 

 

 

 

169,484

 

Travel expense

 

 

-

 

 

 

37,370

 

 

 

 

 

37,370

 

Total operating expenses

 

 

23,824

 

 

 

8,422,311

 

 

 

 

 

8,446,135

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss from operations

 

 

(23,824 )

 

 

(8,422,311 )

 

 

 

 

(8,446,135 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss on acquisition failure

 

 

-

 

 

 

(114,828 )

 

 

 

 

(114,828 )

Interest expense

 

 

-

 

 

 

(91,508 )

 

 

 

 

(91,508 )

Late fee

 

 

-

 

 

 

(120,000 )

 

 

 

 

(120,000 )

Total other expense

 

 

-

 

 

 

(326,336 )

 

 

 

 

(326,336 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$ (23,824 )

 

$ (8,748,647 )

 

 

 

$ (8,772,471 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted net loss per common share

 

 

 

 

 

 

 

 

 

 

 

$ (0.43 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted weighted average common shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

20,222,024

 

  

 
6

 

 

ALLURE WORLDWIDE, INC.

UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS

FOR THE SIX MONTH PERIOD ENDED MARCH 31, 2021

 

 

 

 

 

 

 

 

 

 

Historical

 

 

 

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Pro Forma

 

Pro Forma

 

 

 

3/31/2022

 

 

3/31/2022

 

 

Adjustments

 

Combined

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$ -

 

 

$ -

 

 

 

 

$ -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Administrative costs

 

 

-

 

 

 

38,379

 

 

 

 

 

38,379

 

Contract payroll

 

 

-

 

 

 

175,000

 

 

 

 

 

175,000

 

Stock compensation

 

 

-

 

 

 

7,083,928

 

 

 

 

 

7,083,928

 

Meals and entertainment

 

 

-

 

 

 

26,535

 

 

 

 

 

26,535

 

Professional fees

 

 

-

 

 

 

66,898

 

 

 

 

 

66,898

 

Rent expense

 

 

-

 

 

 

13,923

 

 

 

 

 

13,923

 

Research and development

 

 

-

 

 

 

52,284

 

 

 

 

 

52,284

 

Travel expense

 

 

-

 

 

 

10,818

 

 

 

 

 

10,818

 

Total operating expenses

 

 

-

 

 

 

7,467,765

 

 

 

 

 

7,467,765

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss from operations

 

 

-

 

 

 

(7,467,765 )

 

 

 

 

(7,467,765 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss on debt settlement

 

 

-

 

 

 

-

 

 

 

 

 

-

 

Interest expense

 

 

-

 

 

 

(42,613 )

 

 

 

 

(42,613 )

Late fee

 

 

-

 

 

 

(60,000 )

 

 

 

 

(60,000 )

Total other expense

 

 

-

 

 

 

(102,613 )

 

 

 

 

(102,613 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$ -

 

 

$ (7,570,378 )

 

 

 

$ (7,570,378 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted net loss per common share

 

 

 

 

 

 

 

 

 

 

 

$ (0.43 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted weighted average common shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

17,546,704

 

 

 
7

 

  

ALLURE WORLDWIDE, INC.

UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF OPERATIONS

FOR THE FISCAL YEAR ENDED SEPTEMBER 30, 2020

 

 

 

 

 

 

 

 

 

 

Historical

 

 

Pro Forma

 

Pro Forma

 

 

 

Allure Worldwide, Inc.

 

 

Genvor, Inc.

 

 

Adjustments

 

Combined

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue

 

$ -

 

 

$ -

 

 

 

 

$ -

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Operating expenses

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Administrative costs

 

 

4,870

 

 

 

55,250

 

 

 

 

 

60,120

 

Contract payroll

 

 

-

 

 

 

224,800

 

 

 

 

 

224,800

 

Stock compensation

 

 

-

 

 

 

259,028

 

 

 

 

 

259,028

 

Meals and entertainment

 

 

-

 

 

 

59,762

 

 

 

 

 

59,762

 

Professional fees

 

 

-

 

 

 

58,575

 

 

 

 

 

58,575

 

Rent expense

 

 

-

 

 

 

25,004

 

 

 

 

 

25,004

 

Related party, NBFL

 

 

 

 

 

 

10,000

 

 

 

 

 

10,000

 

Research and development

 

 

-

 

 

 

127,801

 

 

 

 

 

127,801

 

Travel expense

 

 

-

 

 

 

35,608

 

 

 

 

 

35,608

 

Total operating expenses

 

 

4,870

 

 

 

855,827

 

 

 

 

 

860,697

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss from operations

 

 

(4,870 )

 

 

(855,827 )

 

 

 

 

(860,697 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Other income (expense)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Loss on note receivable purchase

 

 

-

 

 

 

(699,381 )

 

 

 

 

(699,381 )

Interest expense

 

 

-

 

 

 

(221,717 )

 

 

 

 

(221,717 )

Late fee

 

 

-

 

 

 

(120,000 )

 

 

 

 

(120,000 )

Total other expense

 

 

-

 

 

 

(1,041,098 )

 

 

 

 

(1,041,098 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Net loss

 

$ (4,870 )

 

$ (1,896,925 )

 

 

 

$ (1,901,795 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted net loss per common share

 

 

 

 

 

 

 

 

 

 

 

$ (0.35 )

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Basic and diluted weighted average common shares outstanding

 

 

 

 

 

 

 

 

 

 

 

 

5,427,765

 

 

 
8

 

 

Allure Worldwide, Inc.

Unaudited Pro Forma Condensed Combined Financial Statements

 

Note 1 – Basis of Presentation

 

The unaudited pro forma condensed combined financial statements were prepared in accordance with Article 11 of SEC Regulation S-X using the acquisition method of accounting in accordance with GAAP and are based on the historical consolidated financial statements of Allure and Genvor, after giving effect to the reverse recapitalization as well as pro forma adjustments.

 

The unaudited pro forma condensed combined balance sheets combine the unaudited historical consolidated balance sheets of Allure and Genvor as of March 31, 2022, giving effect to the acquisition as if it had occurred on March 31, 2022. The unaudited pro forma condensed combined balance sheets at September 30, 2021 and 2020 combine the audited historical balance sheets of Allure with the unaudited historical consolidated balance sheets of Genvor at September 30, 2021 and 2020, respectively.

 

The unaudited pro forma condensed combined statements of operations for the fiscal years ended September 30, 2021 and 2020, and the six months ended March 31, 2022 and 2021, assume the acquisition took place on October 1, 2020, the beginning of Allure’s most recently completed fiscal year prior to the acquisition. Allure’s audited statements of operations for the fiscal years ended September 30, 2021 and 2020 has been combined with Genvor’s consolidated statement of operations for the nine month periods ended September 30, 2021 and 2020 and three month period ended December 31, 2020 and 2019. The unaudited pro forma combined statements of operations for the six months ended March 31, 2022 and 2021, combines the unaudited statement of operations of Allure for the six months ended March 31, 2022 and 2021, with the unaudited consolidated statement of operations of Genvor for the six months ended March 31, 2022 and 2021, as the effective date of the acquisition was October 1, 2021, and interim unaudited financial statements were prepared for Genvor as of that date.

 

The unaudited pro forma condensed combined financial statements are provided for illustrative purposes only and are not intended to represent the consolidated results of operations or financial position of the combined company that would have been recorded had the merger been completed as of the dates presented and should not be taken as representative of future results of operations or financial position of the combined company. The unaudited pro forma condensed combined financial statements do not reflect the impacts of any potential operational efficiencies, cost savings or economies of scale that Allure may achieve with respect to the combined operations of Allure and Genvor. Additionally, the pro forma statements of operations do not include non-recurring charges or credits and the related tax effects that result directly from the acquisition.

 

The unaudited pro forma condensed combined financial statements reflect the estimated reverse recapitalization consideration, which may not represent what the actual consideration transferred will be at the effective date.

 

 
9

 

 

The unaudited pro forma condensed combined financial statements illustrate the assets and liabilities of Genvor recorded at their preliminary estimated fair values at the effective date of the acquisition. The preliminary fair value estimates are subject to change based on the final valuations that will be determined as of the closing date of the acquisition. Actual results will differ from this unaudited pro forma combined financial information after Allure has determined the final acquisition consideration and completed the valuation analysis and computations necessary to finalize the required purchase price allocations. Accordingly, the final allocations of acquisition consideration and their effects on results of operations may differ materially from the preliminary allocations and unaudited pro forma combined amounts included herein. Many of these fair value measurements can be highly subjective, and it is possible that other professionals, applying reasonable judgment to the same facts and circumstances, could develop and support a range of alternative estimated amounts.

 

The unaudited pro forma condensed combined financial statements should be read in conjunction with the historical financial statements and accompanying notes contained in the Annual Reports on Form 10-K and Quarterly Reports on Form 10-Q of Allure Worldwide, Inc.

 

Note 2 – Accounting Policies

 

The unaudited pro forma financial information has been compiled in a manner consistent with the accounting policies of Allure and Genvor.

 

Note 3 – Reverse Capitalization Consideration

 

On January 11, 2021, Allure entered into an Exchange Agreement (the “Purchase Agreement”) with Genvor to acquire Genvor in consideration of (i) the payment of $150,000 by Genvor to Allure; (ii) Allure’s founding shareholders transferring 19,000,000 shares of common stock to Genvor’s shareholders, constituting 95% of Allure’s 20,000,000 total outstanding shares; and (iii) Allure’s founding shareholders retaining 1,000,000 shares of Allure’s common stock. Pursuant to the Purchase Agreement, for a two-year period after closing, following commencement of trading of Allure’s common stock, the parties agreed that Allure will make additional issuances of Allure’s common stock to the founding shareholders to ensure that in the aggregate they maintain their 5% ownership of Allure’s outstanding common stock.

 

On March 2, 2022, the Company and Allure entered into a merger agreement (the “Merger Agreement”) to consummate the Purchase Agreement, and pursuant to which a wholly-owned subsidiary of the Company, Genvor Acquisition Corp., a Delaware corporation, will merge (the “Merger”) with and into Genvor, with each share of Genvor’s common stock issued immediately prior to the time of the merger automatically converted into the right to receive one share of common stock of the Company.

 

In accordance with GAAP, because a reverse recapitalization is equivalent to the issuance of shares by Genvor for the net monetary assets of Allure, the transaction costs incurred to effect the recapitalization may represent costs related to issuing equity and raising capital that are recognized as a reduction to the total amount of equity raised. Accordingly, the prepaid costs for reverse capitalization reflected in the Genvor balance sheet are adjusted through additional paid in capital included in the shareholders’ deficit.

 

 
10

 

 

Note 4 – Pro Forma Adjustments

 

Transaction Accounting Adjustments:

 

 

March 31,

 

 

September 30,

 

 

 

2022

 

 

2021

 

 

2020

 

(a) Adjustment of prepaid costs for reverse capitalization cash distributed to seller pursuant to agreement

 

$ 150,000

 

 

$ 150,000

 

 

$ 10,000

 

 

 

 

 

 

 

 

 

 

 

 

 

 

(b) Elimination of receivables from/due to related party, Allure/Genvor

 

$ 33,526

 

 

$ 16,239

 

 

$ -

 

 

Autonomous Entity Adjustments: N/A

 

Management’s Adjustments: None; however, professional fees are expected to be lower after the merger.

 

 
11