Attached files
| file | filename |
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| EX-2.1 - EXHIBIT 2.1 - Global Diversified Marketing Group Inc. | tv508267_ex2-1.htm |
| 8-K - 8-K - Global Diversified Marketing Group Inc. | tv508267_8k.htm |
Exhibit 99.1
UNAUDITED PRO FORMA COMBINED FINANCIAL INFORMATION.
On November 21, 2018, Global Diversified Marketing Group, Inc. completed its acquisition of Global Diversified Holdings, Inc. Both entities were under common control. For accounting purposes, this business combination will be treated as a reverse acquisition with Global Diversified Holdings, Inc. as the acquirer. The following unaudited pro forma combined balance sheets and income statements are based on historical financial statements of the companies. The unaudited pro forma combined financial statements are provided for information purposes only. The pro forma financial statements are not necessarily indicative of what the financial position or results of operations actually would have been had the acquisition been completed at the dates indicated below. In addition, the unaudited pro forma combined financial statements do not purport to project the future financial position or operating results of the combined company. The unaudited pro forma combined financial information has been prepared in accordance with the rules and regulations of the Securities and Exchange Commission. For pro forma purposes:
| • | The Unaudited Pro Forma Combined Balance Sheets as of December 31, 2017 combines the historical balance sheets of the companies as of December 31, 2017, giving effect to the acquisitions/mergers as if they had occurred on January 1, 2017. |
| • | The Unaudited Pro Forma Combined Statements of Operations as of December 31, 2017 combines the statements of operations of the companies for the year ended December 31, 2017, giving effect to the acquisitions/mergers as if they had occurred on January 1, 2017. |
| • | The Unaudited Pro Forma Combined Balance Sheets as of September 30, 2018 combines the historical balance sheets of the companies as of September 30, 2018, giving effect to the acquisitions/mergers as if they had occurred on January 1, 2017. |
| • | The Unaudited Pro Forma Combined Statements of Operations for the nine months ended September 30, 2018 combines the statements of operations of the companies for the nine months ended September 30, 2018, giving effect to the acquisitions/mergers as if they had occurred on January 1, 2017. |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
TABLE OF CONTENTS
DECEMBER 31, 2017
| Pro Forma Combined Balance Sheets as of December 31, 2017 (unaudited) | 2 |
| Pro Forma Combined Statements of Operations as of December 31, 2017 (unaudited) | 3 |
| Notes to the Pro Forma Adjustments | 4 |
| 1 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
PRO FORMA COMBINED BALANCE SHEETS (unaudited)
AS OF DECEMBER 31, 2017
| Global Diversified Marketing Group, Inc. | Global Diversified Holdings, Inc. | Eliminations | Total | |||||||||||||
| ASSETS | ||||||||||||||||
| Current Assets | ||||||||||||||||
| Cash and cash equivalents | $ | 0 | $ | 0 | $ | 0 | ||||||||||
| Accounts receivable | 0 | 18,108 | 18,108 | |||||||||||||
| Prepaid expenses | 0 | 4,874 | 4,874 | |||||||||||||
| Inventory | 0 | 361,028 | 361,028 | |||||||||||||
| Total Current Assets | 0 | 384,010 | 384,010 | |||||||||||||
| Property and Equipment, Net | 0 | 3,057 | 3,057 | |||||||||||||
| Other Asset | ||||||||||||||||
| Security deposit | 0 | 1,600 | 1,600 | |||||||||||||
| TOTAL ASSETS | $ | 0 | $ | 388,667 | $ | 388,667 | ||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||
| Current Liabilities | ||||||||||||||||
| Accounts payable and accrued expenses | $ | 1,000 | $ | 236,596 | $ | 237,596 | ||||||||||
| Loans payable | 0 | 75,586 | 75,586 | |||||||||||||
| Stock redemption payable – current portion | 0 | 45,000 | 45,000 | |||||||||||||
| Total Current Liabilities | 1,000 | 357,182 | 358,182 | |||||||||||||
| STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||
| (1.950 | )a | |||||||||||||||
| Common stock | 2,000 | 70,000 | (70,000 | )b | 1,300 | |||||||||||
| 1,250 | a | |||||||||||||||
| 1,950 | a | |||||||||||||||
| Additional paid in capital | 312 | 0 | (3,312 | )b | (1,050 | ) | ||||||||||
| Subscription receivable | 0 | 0 | (1,250 | )a | (1,250 | ) | ||||||||||
| Treasury stock | 0 | (90,000 | ) | 90,000 | b | 0 | ||||||||||
| (20,000 | )b | |||||||||||||||
| Retained earnings (Accumulated deficit) | (3,312 | ) | 51,485 | 3312 | b | 31,485 | ||||||||||
| Total Stockholders’ Equity | (1,000 | ) | 31,485 | 30,485 | ||||||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY(DEFICIT) | $ | 0 | $ | 388,667 | $ | 388,667 | ||||||||||
| 2 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
PRO FORMA COMBINED STATEMENTS OF OPERATIONS (unaudited)
FOR THE PERIODS ENDED DECEMBER 31, 2017
| Global Diversified Marketing Group, Inc. | Global Diversified Holdings, Inc. | Total | ||||||||||
| GROSS SALES | $ | 0 | $ | 1,298,372 | $ | 1,298,372 | ||||||
| COST OF SALES | 0 | 986,428 | 986,428 | |||||||||
| GROSS PROFIT | 0 | 311.944 | 311,944 | |||||||||
| OPERATING EXPENSES | 3,312 | 289,551 | 292,863 | |||||||||
| NET INCOME (LOSS) FROM OPERATIONS | (3,312 | ) | 22,393 | 19,081 | ||||||||
| (PROVISION) BENEFIT FOR INCOME TAXES | 0 | 0 | 0 | |||||||||
| NET INCOME (LOSS) | $ | (3,312 | ) | $ | 22,393 | $ | 19,081 | |||||
| 3 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
NOTES TO THE PRO FORMA ADJUSTMENTS (unaudited)
DECEMBER 31, 2017
(a) Issuance of 200 shares of $.001 par value common stock of Global Diversified Marketing Group, Inc. in exchange for 100% of the issued and outstanding stock of Global Diversified Holdings, Inc. as of January 1, 2017.
(b) Elimination of equity of Global Diversified Holdings, Inc. as of January 1, 2017 in exchange for 200 shares of $0.001 par value common stock of Global Diversified Marketing Group, Inc. The excess of Global Diversified Holdings, Inc. Treasury Stock versus Common Stock ($20,000) reduced Retained Earnings.
| 4 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
TABLE OF CONTENTS
SEPTEMBER 30, 2018
| Pro Forma Combined Balance Sheets as of September 30, 2018 (unaudited) | 6 |
| Pro Forma Combined Statements of Operations for the nine months ended September 30, 2018 (unaudited) | 7 |
| Notes to the Pro Forma Adjustments | 8 |
| 5 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
PRO FORMA COMBINED BALANCE SHEETS (unaudited)
AS OF SEPTEMBER 30, 2018
| Global Diversified Marketing Group, Inc. | Global Diversified Holdings, Inc. | Eliminations | Total | |||||||||||||
| ASSETS | ||||||||||||||||
| Current Assets | ||||||||||||||||
| Cash and cash equivalents | $ | 0 | $ | 5,766 | $ | 5,766 | ||||||||||
| Accounts receivable | 0 | 15,645 | 15,645 | |||||||||||||
| Prepaid expenses and deposits | 0 | 79,895 | 79,895 | |||||||||||||
| Inventory | 0 | 254,054 | 254,054 | |||||||||||||
| Total Current Assets | 0 | 355,360 | 355,360 | |||||||||||||
| Property and Equipment, Net | 0 | 2,640 | 2,640 | |||||||||||||
| Other Asset | ||||||||||||||||
| Security deposit | 0 | 1,600 | 1,600 | |||||||||||||
| TOTAL ASSETS | $ | 0 | $ | 359,600 | $ | 359,600 | ||||||||||
| LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||
| Current Liabilities | ||||||||||||||||
| Accounts payable and accrued expenses | $ | 0 | $ | 120,888 | $ | 120,888 | ||||||||||
| Loans payable | 0 | 143,334 | (1,250 | )b | 142,084 | |||||||||||
| Stock redemption payable – current portion | 0 | 33,750 | 33,750 | |||||||||||||
| Total Current Liabilities | 0 | 297,972 | 296,722 | |||||||||||||
| STOCKHOLDERS’ EQUITY (DEFICIT) | ||||||||||||||||
| Common stock | 1,300 | 70,000 | (70,000 | )a | 1,300 | |||||||||||
| Additional paid in capital | 4,664 | 0 | (4,714 | )b | (50 | ) | ||||||||||
| Subscription receivable | (1,250 | ) | 0 | 1,250 | a | 0 | ||||||||||
| Treasury stock | 0 | (90,000 | ) | 90,000 | a | 0 | ||||||||||
| (20,000) | a | |||||||||||||||
| Retained earnings (Accumulated deficit) | (4,714 | ) | 81,628 | 4,714 | a | 61,628 | ||||||||||
| Total Stockholders’ Equity | 0 | 61,628 | 62,878 | |||||||||||||
| TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY(DEFICIT) | $ | 0 | $ | 359,600 | $ | 359,600 | ||||||||||
| 6 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
PRO FORMA COMBINED STATEMENTS OF OPERATIONS (unaudited)
FOR THE NINE MONTHS ENDED SEPTEMBER 30, 2018
| Global Diversified Marketing Group, Inc. | Global Diversified Holdings, Inc. | Total | ||||||||||
| GROSS SALES | $ | 0 | $ | 831,955 | $ | 831,955 | ||||||
| COST OF SALES | 0 | 512,615 | 512,615 | |||||||||
| GROSS PROFIT | 0 | 319,340 | 319,340 | |||||||||
| OPERATING EXPENSES | 1,402 | 289,197 | 290,599 | |||||||||
| NET INCOME (LOSS) FROM OPERATIONS | (1,402 | ) | 30,143 | 28,741 | ||||||||
| (PROVISION) BENEFIT FOR INCOME TAXES | 0 | 0 | 0 | |||||||||
| NET INCOME (LOSS) | $ | (1,402 | ) | $ | 30,143 | $ | 28,741 | |||||
| 7 |
GLOBAL DIVERSIFIED MARKETING GROUP, INC.
NOTES TO THE PRO FORMA ADJUSTMENTS (unaudited)
SEPTEMBER 30, 2018
(a) Elimination of equity of Global Diversified Holdings, Inc. as of January 1, 2017 in exchange for 200 shares of $0.001 par value common stock of Global Diversified Marketing Group, Inc. The excess of Global Diversified Holdings, Inc. Treasury Stock versus Common Stock ($20,000) reduced Retained Earnings.
(b) Elimination of subscription receivable and loan payable as subscription payment was deposited into Global Diversified Holdings, Inc. since Global Diversified Marketing Group, Inc. does not have a bank account.
| 8 |