Exhibit 99.3
DSS, INC. AND SUBSIDIARIES
Consolidated Balance Sheets
As of December 31, 2020
ASSETS | Pre-Acquisition DSS (Purchaser) December 31, 2020 | Record 12.23.2021 Investment | Post-Acquisition DSS (Purchaser) December 31, 2020 | Sharing Service Global Corp (Target) March 31, 2021 | Proforma Adjustment (Note 1) | Proforma Adjustment (Note 2) | Consolidated | |||||||||||||||||||||
Current assets: | ||||||||||||||||||||||||||||
Cash and cash equivalents | $ | 5,226,000 | $ | (3,000,000 | ) | $ | 2,226,000 | $ | 12,144,409 | $ | - | $ | - | $ | 14,370,409 | |||||||||||||
Restricted cash | - | - | - | - | - | - | - | |||||||||||||||||||||
Accounts receivable, net | 3,910,000 | - | 3,910,000 | 1,514,359 | - | - | 5,424,359 | |||||||||||||||||||||
Income taxes receivable | - | - | - | 107,097 | - | - | 107,097 | |||||||||||||||||||||
Inventory | 1,955,000 | - | 1,955,000 | 2,471,310 | - | - | 4,426,310 | |||||||||||||||||||||
Current portion of notes receivable | - | - | - | 94,600 | - | - | 94,600 | |||||||||||||||||||||
Prepaid expenses and other current assets | 1,359,000 | - | 1,359,000 | 2,403,634 | - | - | 3,762,634 | |||||||||||||||||||||
Total current assets | 12,450,000 | (3,000,000 | ) | 9,450,000 | 18,735,409 | - | - | 28,185,409 | ||||||||||||||||||||
Property, plant and equipment, net | 4,146,000 | - | 4,146,000 | 887,950 | - | - | 5,033,950 | |||||||||||||||||||||
Investment in real estate | - | - | - | - | - | - | - | |||||||||||||||||||||
Other investments | 1,788,000 | - | 1,788,000 | - | - | - | 1,788,000 | |||||||||||||||||||||
Investment, equity method | 12,234,000 | - | 12,234,000 | - | (604,000 | ) | (11,630,000 | ) | - | |||||||||||||||||||
Marketable securities | 9,136,000 | - | 9,136,000 | - | - | - | 9,136,000 | |||||||||||||||||||||
Notes receivable | 537,000 | - | 537,000 | - | - | - | 537,000 | |||||||||||||||||||||
Non-current assets held for sale - discontinued operations | 744,000 | - | 744,000 | - | - | - | 744,000 | |||||||||||||||||||||
Other assets | 384,000 | - | 384,000 | 219,142 | - | - | 603,142 | |||||||||||||||||||||
Right-of-use assets | 182,000 | - | 182,000 | 428,075 | - | - | 610,075 | |||||||||||||||||||||
Deferred tax asset, net | - | - | - | 1,873,170 | - | - | 1,873,170 | |||||||||||||||||||||
Investment in unconsolidated entities | - | - | - | - | - | - | - | |||||||||||||||||||||
Investment in target | - | 3,000,000 | 3,000,000 | - | - | (3,000,000 | ) | - | ||||||||||||||||||||
Goodwill | 26,862,000 | - | 26,862,000 | - | - | - | 26,862,000 | |||||||||||||||||||||
Other intangible assets, net | 23,456,000 | - | 23,456,000 | 188,567 | - | - | 23,644,567 | |||||||||||||||||||||
Total assets | $ | 91,919,000 | $ | - | $ | 91,919,000 | $ | 22,332,313 | $ | (604,000 | ) | $ | (14,630,000 | ) | $ | 99,017,313 | ||||||||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||||||||||||||||||||||||||||
Current liabilities: | ||||||||||||||||||||||||||||
Accounts payable | $ | 1,482,000 | $ | - | $ | 1,482,000 | $ | 1,295,174 | $ | - | $ | - | $ | 2,777,174 | ||||||||||||||
Accrued expenses and deferred revenue | 5,270,000 | - | 5,270,000 | 10,344,014 | - | - | 15,614,014 | |||||||||||||||||||||
Other current liabilities | 1,435,000 | - | 1,435,000 | 2,473,412 | - | - | 3,908,412 | |||||||||||||||||||||
Current liabilities held for sale - discontinued operations | 240000 | - | 240,000 | - | - | - | ||||||||||||||||||||||
Current portion of lease liability | 167,000 | - | 167,000 | - | - | - | 167,000 | |||||||||||||||||||||
Current portion of long-term debt, net | 278,000 | - | 278,000 | 1,140,031 | - | - | 1,418,031 | |||||||||||||||||||||
Total current liabilities | 8,872,000 | - | 8,872,000 | 15,252,631 | - | - | 24,124,631 | |||||||||||||||||||||
- | ||||||||||||||||||||||||||||
Long-term debt, net | 1,976,000 | - | 1,976,000 | 34,762 | - | - | 2,010,762 | |||||||||||||||||||||
Long term lease liability | 15,000 | - | 15,000 | 77,810 | - | - | 92,810 | |||||||||||||||||||||
Non-current liabilities held for sale - discontinued operations | 505,000 | - | 505,000 | - | - | - | ||||||||||||||||||||||
Other long-term liabilities | 507,000 | - | 507,000 | 808,071 | - | - | 1,315,071 | |||||||||||||||||||||
Deferred tax liability, net | 3,499,000 | - | 3,499,000 | - | - | - | 3,499,000 | |||||||||||||||||||||
Stockholders’ equity | ||||||||||||||||||||||||||||
Preferred stock, $.02 par value; 47,000 shares authorized, shares issued and outstanding (43,000 on December 31, 2020); Liquidation value $1,000 per share, $- aggregate. $43,000,000 on December 31, 2020) | 1,000 | - | 1,000 | - | - | - | 1,000 | |||||||||||||||||||||
Series A convertible preferred stock, $0.0001 par value, 100,000,000 shares designated, 3,100,000 shares and 5,100,000 shares issued and outstanding at September 30 and March 31, respectively | - | - | - | 510 | - | (510 | ) | - | ||||||||||||||||||||
Series C convertible preferred stock, $0.0001 par value, 10,000,000 shares designated, 3,220,000 shares and 3,230,000 shares issued and outstanding at September 30 and March 31, respectively | - | - | - | 323 | - | (323 | ) | - | ||||||||||||||||||||
Common stock, $.02 par value; 200,000,000 shares authorized, 79,745,886 shares issued and outstanding (5,836,000 on December 31, 2020) | 116,000 | - | 116,000 | - | - | - | 116,000 | |||||||||||||||||||||
Common Stock, $0.0001 par value, 800,000,000 Class A shares authorized, 187,610,769 shares and 160,100,769 shares issued and outstanding at September 30 and March 31, respectively | - | - | - | 16,010 | - | (16,010 | ) | - | ||||||||||||||||||||
Additional paid-in capital | 174,380,000 | - | 174,380,000 | 43,757,768 | - | (43,757,768 | ) | 174,380,000 | ||||||||||||||||||||
Non-controlling interest in subsidiary | 3,430,000 | - | 3,430,000 | - | - | (8,470,961 | ) | (5,040,961 | ) | |||||||||||||||||||
Shares to be issued | - | - | - | 12,146 | - | (12,146 | ) | - | ||||||||||||||||||||
Accumulated deficit | (101,382,000 | ) | - | (101,382,000 | ) | (37,627,718 | ) | (604,000 | ) | 37,627,718 | (101,986,000 | ) | ||||||||||||||||
Cumulative translation adjustments | - | - | - | - | - | - | - | |||||||||||||||||||||
Total stockholders’ equity | 76,545,000 | - | 76,545,000 | 6,159,039 | (604,000 | ) | (14,630,000 | ) | 67,470,039 | |||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 91,919,000 | $ | - | $ | 91,919,000 | $ | 22,332,313 | $ | (604,000 | ) | $ | (14,630,000 | ) | $ | 99,017,313 |
Credit | Debit | |||||||
Note 1: Eliminate intercompany activity | ||||||||
Investment, equity method | $ | 604,000 | ||||||
Accumulated deficit | $ | 604,000 | ||||||
Note 2: Elimination of SHRG equity | ||||||||
Investment, equity method | $ | 11,630,000 | ||||||
Investment in target | $ | 3,000,000 | ||||||
Series A convertible preferred stock, $0.0001 par value, 100,000,000 shares designated, 3,100,000 shares and 5,100,000 shares issued and outstanding at September 30 and March 31, respectively | $ | 510 | ||||||
Series C convertible preferred stock, $0.0001 par value, 10,000,000 shares designated, 3,220,000 shares and 3,230,000 shares issued and outstanding at September 30 and March 31, respectively | $ | 323 | ||||||
Common Stock, $0.0001 par value, 800,000,000 Class A shares authorized, 187,610,769 shares and 160,100,769 shares issued and outstanding at September 30 and March 31, respectively | $ | 16,010 | ||||||
Additional paid-in capital | $ | 43,757,768 | ||||||
Non-controlling interest in subsidiary | $ | 8,470,961 | ||||||
Shares to be issued | $ | 12,146 | ||||||
Accumulated deficit | $ | 37,627,718 | ||||||
Cumulative translation adjustments |
Note 3: DSS, Inc. is performing a valuation of the assets as well as the non-contorlling interest portion of SHRG and its subsidiaries. For purposes of this proforma, and until the valuation is complete, $8,470,961 is included non-controlling interest.