Financial Reports 2019

Quarterly Report 2019 Q1

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PROMETIC LIFE SCIENCES INC. CONDENSED INTERIM CONSOLIDATED FINANCIAL STATEMENTS For the quarter ended on March 31, 2019 (In thousands of Canadian dollars, except for per share amounts) (Unaudited) 54 b) Revenues by location Revenues are attributed to countries based on the location of customers. The Corporation derives significant revenues from certain customers. During the quarter ended March 31, 2019, there were three customers in the Bioseparations segment who accounted for 64% (32%, 19% and 13% respectively) of total revenues and one customer in the Plasma-derived therapeutics segment who accounted for 17% of total revenues. For the quarter ended March 31, 2018, there were three customers who accounted for 81% (46%, 21% and 14% respectively) of total revenues in the Bioseparations segment. 20. Subsequent event On April 23, 2019, the Corporation entered into a debt restructuring agreement with the long-term debt holder. Under the terms of the restructuring agreement, the US$95 million of principal plus interest due on the Credit Facility was extinguished and the aggregate face value of the original issue discount loans was reduced by $99,552 to $10,000 with the remaining loan balance modified into an interest-bearing loan. The indebtedness was reduced by $228,888 by way of conversion into common shares of Prometic, at a conversion price rounded to the nearest five decimals of $0.01521 per common share resulting in the issuance of 15,050,312,371 common shares on that date. Concurrently, the Corporation closed a private placement for 4,931,554,664 common shares at a subscription price of $0.01521 for gross proceeds of $75,000. On April 23, 2019, pursuant to the debt restructuring, the Corporation cancelled the 168,735,308 warrants held by the long-term debt holder (Warrants #1, 2, 8 and 9) and replaced them with an equivalent number of warrants ("Warrants #10") that will be exercisable at an exercise price of $0.01521 per common share and expire on April 23, 2027. The Corporation is currently assessing the accounting treatment of these transactions. As a result of the share exchange transaction, more than 50% of the issued shares of Prometic will be owned by a single shareholder. Tax rules in the jurisdictions in which Prometic operates generally have restrictions in the utilization of tax attributes due to change of control events. The Corporation is currently reviewing the impact of the transaction on its various available tax attributes in the main jurisdictions in which it carries on business (Canada, the U.S, and the U.K.). Quarter ended March 31, 2019 2018 Switzerland $ 2,639 $ 916 United States 3,164 5 Netherlands 1,174 604 Canada 842 558 Austria - 1,976 Other countries 414 233 $ 8,233 $ 4,292

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