EX-99.2
Published on December 14, 2009
Exhibit 99.2
OPKO Health, Inc.
Pro Forma Condensed Consolidated Balance Sheets
As of June 30, 2009
(unaudited)
(in thousands, except per share data)
Pro Forma Condensed Consolidated Balance Sheets
As of June 30, 2009
(unaudited)
(in thousands, except per share data)
OPKO Health, | Pharma Genexx | Pro forma | ||||||||||||||
Inc. | S.A. (a) | adjustments | Consolidated | |||||||||||||
ASSETS |
||||||||||||||||
Current assets |
||||||||||||||||
Cash and cash equivalents |
$ | 35,939 | $ | 270 | $ | (16,000 | ) | $ | 20,209 | |||||||
Marketable securities |
4,997 | | | 4,997 | ||||||||||||
Accounts receivables, net |
2,165 | 4,559 | | 6,724 | ||||||||||||
Accounts receivable from related party |
| 1,745 | | 1,745 | ||||||||||||
Inventory, net |
5,151 | 4,180 | | 9,331 | ||||||||||||
Prepaid expenses and other current
assets |
1,675 | 301 | | 1,976 | ||||||||||||
Total current assets |
49,927 | 11,055 | (16,000 | ) | 44,982 | |||||||||||
Property and equipment |
560 | 17 | | 577 | ||||||||||||
Intangible assets, net |
5,524 | 148 | (148 | ) b | 14,024 | |||||||||||
8,500 | b | |||||||||||||||
Goodwill |
1,097 | | 3,084 | b | 4,181 | |||||||||||
Investment |
2,262 | | | 2,262 | ||||||||||||
Other assets |
335 | 6 | | 341 | ||||||||||||
TOTAL ASSETS |
$ | 59,705 | $ | 11,226 | $ | (4,564 | ) | $ | 66,367 | |||||||
LIABILITIES AND SHAREHOLDERS EQUITY |
||||||||||||||||
Current liabilities |
||||||||||||||||
Accounts payable |
$ | 2,201 | $ | 1,695 | $ | | $ | 3,896 | ||||||||
Accrued expenses |
4,014 | 1,048 | | 5,062 | ||||||||||||
Current portion of notes payable and capital
lease obligations |
86 | 3,919 | | 4,005 | ||||||||||||
Total current liabilities |
6,301 | 6,662 | | 12,963 | ||||||||||||
Long-term liabilities and capital lease obligations |
2,595 | | | 2,595 | ||||||||||||
Line of credit with related party, net of
unamortized discount of $101 |
11,899 | | | 11,899 | ||||||||||||
Total liabilities |
20,795 | 6,662 | | 27,457 | ||||||||||||
Commitments and contingencies |
||||||||||||||||
Shareholders equity |
||||||||||||||||
Series A Preferred Stock $0.01 par value,
4,000,000 shares authorized; 932,667 shares
issued and outstanding (liquidation value $2,448) |
9 | | | 9 | ||||||||||||
Series C Preferred Stock $0.01 par value, 500,000
shares authorized; No shares issued or
outstanding |
| | | | ||||||||||||
Common Stock $0.01 par value, 500,000,000
shares authorized, 252,594,059 shares issued and
outstanding |
2,526 | | | 2,526 | ||||||||||||
Treasury Stock 45,154 shares |
(61 | ) | | | (61 | ) | ||||||||||
Additional paid-in capital |
360,341 | 2,214 | (2,214 | ) c | 360,341 | |||||||||||
(Accumulated deficit) retained earnings |
(323,905 | ) | 2,350 | (2,350 | ) c | (323,905 | ) | |||||||||
Total shareholders equity |
38,910 | 4,564 | (4,564 | ) | 38,910 | |||||||||||
TOTAL LIABILITIES AND SHAREHOLDERS
EQUITY |
$ | 59,705 | $ | 11,226 | $ | (4,564 | ) | $ | 66,367 | |||||||
1
OPKO Health, Inc.
Pro Forma Condensed Consolidated Statements of Operations
For the six months ended June 30, 2009
(unaudited)
(in thousands, except per share data)
Pro Forma Condensed Consolidated Statements of Operations
For the six months ended June 30, 2009
(unaudited)
(in thousands, except per share data)
OPKO Health, | Pharma Genexx | Pro forma | ||||||||||||||
Inc. | S.A. (a) | adjustments | Consolidated | |||||||||||||
Revenue |
$ | 4,648 | $ | 7,563 | $ | | $ | 12,211 | ||||||||
Cost of goods sold |
3,325 | 4,672 | | 7,997 | ||||||||||||
Gross margin |
1,323 | 2,891 | | 4,214 | ||||||||||||
Operating expenses |
||||||||||||||||
Selling, general and administrative |
6,183 | 1,286 | | 7,469 | ||||||||||||
Research and development |
8,157 | | | 8,157 | ||||||||||||
Other operating expenses, principally
amortization of intangible assets |
812 | | 876 | e | 1,688 | |||||||||||
Total operating expenses |
15,152 | 1,286 | 876 | 17,314 | ||||||||||||
Operating (loss) income |
(13,829 | ) | 1,605 | (876 | ) | (13,100 | ) | |||||||||
Other (expense) income, net |
(944 | ) | 157 | (880 | ) d | (1,667 | ) | |||||||||
(Loss) income before (benefit) provision
for income taxes and investment loss |
(14,773 | ) | 1,762 | (1,756 | ) | (14,767 | ) | |||||||||
Income tax (benefit) provision |
(138 | ) | 314 | | 176 | |||||||||||
(Loss) income before investment loss |
(14,635 | ) | 1,448 | (1,756 | ) | (14,943 | ) | |||||||||
Loss from investment in investee |
(38 | ) | | | (38 | ) | ||||||||||
Net (loss) income |
(14,673 | ) | 1,448 | (1,756 | ) | (14,981 | ) | |||||||||
Preferred stock dividend |
(116 | ) | | | (116 | ) | ||||||||||
Net (loss) income attributable to
common shareholders |
$ | (14,789 | ) | $ | 1,448 | $ | (1,756 | ) | $ | (15,097 | ) | |||||
(Loss) income per common share, basic |
$ | (0.07 | ) | $ | 1,206.67 | $ | (0.07 | ) | ||||||||
(Loss) income per common share, diluted |
$ | (0.07 | ) | $ | 1,206.67 | $ | (0.07 | ) | ||||||||
Weighted average number of shares
outstanding, basic and diluted |
212,695,483 | 1,200 | 212,695,483 | |||||||||||||
2
OPKO Health, Inc.
Pro Forma Condensed Consolidated Statements of Operations
For the year ended December 31, 2008
(unaudited)
(in thousands, except per share data)
Pro Forma Condensed Consolidated Statements of Operations
For the year ended December 31, 2008
(unaudited)
(in thousands, except per share data)
OPKO Health, | Pharma Genexx | Pro forma | ||||||||||||||
Inc. | S.A. (a) | adjustments | Consolidated | |||||||||||||
Revenue |
$ | 9,440 | $ | 10,925 | $ | | $ | 20,365 | ||||||||
Cost of goods sold |
8,559 | 7,198 | | 15,757 | ||||||||||||
Gross margin |
881 | 3,727 | | 4,608 | ||||||||||||
Operating expenses |
||||||||||||||||
Selling, general and administrative |
14,790 | 2,306 | | 17,096 | ||||||||||||
Research and development |
21,562 | | | 21,562 | ||||||||||||
Write-off of acquired in-process research and
development |
1,398 | | | 1,398 | ||||||||||||
Other operating expenses, principally
amortization of intangible assets |
1,694 | | 1,751 | e | 3,445 | |||||||||||
Total operating expenses |
39,444 | 2,306 | 1,751 | 43,501 | ||||||||||||
Operating (loss) income |
(38,563 | ) | 1,421 | (1,751 | ) | (38,893 | ) | |||||||||
Other (expense) income, net |
(1,354 | ) | (745 | ) | (1,760 | ) d | (3,859 | ) | ||||||||
(Loss) income before (benefit) provision
for income taxes |
(39,917 | ) | 676 | (3,511 | ) | (42,752 | ) | |||||||||
Income tax (benefit) provision |
(83 | ) | 74 | | (9 | ) | ||||||||||
Net (loss) income |
(39,834 | ) | 602 | (3,511 | ) | (42,743 | ) | |||||||||
Preferred stock dividend |
(217 | ) | | | (217 | ) | ||||||||||
Net (loss) income attributable to common
shareholders |
$ | (40,051 | ) | $ | 602 | $ | (3,511 | ) | $ | (42,960 | ) | |||||
(Loss) income per common share, basic |
$ | (0.21 | ) | $ | 645.23 | $ | (0.23 | ) | ||||||||
(Loss) income per common share, diluted |
$ | (0.21 | ) | $ | 645.23 | $ | (0.23 | ) | ||||||||
Weighted average number of shares outstanding,
basic and diluted |
187,713,041 | 933 | 187,713,041 | |||||||||||||
Notes:
(a) | Exchange rate for the Pro Forma Condensed Consolidated Balance Sheets is equivalent to the closing exchange rate on June 30, 2009 reflecting US$1 to 539.98 Chilean Pesos. Exchange rates for the Pro Forma Condensed Consolidated Statements of Operations are equivalent to the average exchange rate for the periods presented and are equivalent to US$1 to 523.92198 Chilean Pesos for the year ended December 31, 2008 and US$1 US to 598.20049 Chilean Pesos for the six months ended June 30, 2009, respectively. | ||
(b) | Reflects the elimination of Pharma Genexxs recorded intangible assets and the addition of the intangible assets and goodwill initially identified in connection with the acquisition of Pharma Genexx by OPKO. This allocation is preliminary and subject to change. | ||
(c) | Reflects the elimination of Pharma Genexxs equity capital. | ||
(d) | The pro forma interest expense assumes borrowing funds at an 11% annual interest rate for the purchase price of $16 million. The annual interest rate is based on OPKOs current line of credit. The interest expense assumes the closing of the transaction and funds were borrowed on January 1, 2008. | ||
(e) | The pro forma amortization expense assumes the transaction closed on January 1, 2008. The following table reflects the purchase price allocation which is preliminary and subject to change. |
Intangible asset | Purchase price allocation | Estimated useful life | ||||
Product registrations |
$ | 4,637 | 10 years | |||
Customer relationships |
3,433 | 3 years | ||||
Tradename |
430 | 3 years | ||||
Goodwill |
3,084 | Indefinite | ||||
TOTAL |
$ | 11,584 |
3