Exhibit 99.2
BIOCIRCUITS CORPORATION
(A DEVELOPMENT STAGE COMPANY)
PROFORMA CONDENSED BALANCE SHEET
(IN THOUSANDS, EXCEPT FOR SHARE AND PER SHARE DATA)
(UNAUDITED)
MARCH 31, 1997 ADJUSTMENT PROFORMA
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ASSETS
Current assets:
Cash and cash equivalents. . . . . . . . . . . . . . . . . . . . . . $ 593 $ 1,535 $ 2,128
Accounts receivable, net of allowance for doubtful accounts
of $54, ($43 on December 31, 1996) . . . . . . . . . . . . . . . . 281 --- 281
Inventory. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,225 --- 1,225
Prepaid inventory. . . . . . . . . . . . . . . . . . . . . . . . . . 263 --- 263
Prepaid expenses and other current assets. . . . . . . . . . . . . . 199 --- 199
Restricted cash. . . . . . . . . . . . . . . . . . . . . . . . . . . 813 --- 813
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Total current assets . . . . . . . . . . . . . . . . . . . . . . . . . 3,374 1,535 4,909
Property and equipment, net of accumulated depreciation and
amortization of $1,763 ($1,671 in 1996). . . . . . . . . . . . . . . 1,441 --- 1,441
Restricted cash. . . . . . . . . . . . . . . . . . . . . . . . . . . . 263 --- 263
Other assets . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 44 --- 44
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$ 5,122 $ 1,535 $ 6,657
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LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Accounts payable . . . . . . . . . . . . . . . . . . . . . . . . . . $ 957 --- $ 957
Accrued liabilities. . . . . . . . . . . . . . . . . . . . . . . . . 220 --- 220
Accrued compensation and related expenses. . . . . . . . . . . . . . 155 --- 155
Current portion of capital lease obligations . . . . . . . . . . . . 121 --- 121
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Total current liabilities. . . . . . . . . . . . . . . . . . . . . . . 1,453 --- 1,453
Long-term portion of capital lease obligations . . . . . . . . . . . . 13 --- 13
Stockholders' equity:
Preferred stock, $0.001 par value, 40,000,000 shares authorized,
issuable in series: Series A convertible, 30,000,000
shares designated, 12,446,103 shares issued and
aggregate liquidation preference of $55 per share. . . . . . . . . 9,903 --- 9,903
Common stock, $0.001 par value, 70,000,000 shares authorized,
8,592,584 shares issued and outstanding at March 31,
1997, 10,281,322 proforma shares issued and
outstanding. . . . . . . . . . . . . . . . . . . . . . . . . . . . 48,905 1,535 50,440
Deficit accumulated during the development stage . . . . . . . . . . (55,096) --- (55,096)
Notes receivable secured by common stock . . . . . . . . . . . . . . (15) --- (15)
Deferred compensation and other. . . . . . . . . . . . . . . . . . . (41) --- (41)
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Total stockholders' equity . . . . . . . . . . . . . . . . . . . . . . 3,656 1,535 5,191
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$ 5,122 $ 1,535 $ 6,657
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See accompanying note
BIOCIRCUITS CORPORATION
(A DEVELOPMENT STAGE COMPANY)
PROFORMA CONDENSED STATEMENT OF OPERATIONS
(IN THOUSANDS EXCEPT PER SHARE DATA)
(UNAUDITED)
THREE MONTHS ENDED PERIOD FROM
MARCH 31, MARCH 7, 1989
-------------------------- INCEPTION) THROUGH
1997 1996 MARCH 31, 1997
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REVENUES:
Product Sales. . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 234 $ 45 $ 655
OPERATING COSTS AND EXPENSES:
Cost of sales. . . . . . . . . . . . . . . . . . . . . . . . . . . . 1,034 307 3,344
Research and development . . . . . . . . . . . . . . . . . . . . . . 1,480 2,353 35,837
Sales, general and administrative. . . . . . . . . . . . . . . . . . 1,316 1,250 17,594
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3,830 3,910 56,775
Loss from operations . . . . . . . . . . . . . . . . . . . . . . . . . (3,596) (3,865) (56,120)
Interest income. . . . . . . . . . . . . . . . . . . . . . . . . . . . 64 92 2,412
Interest and other expense . . . . . . . . . . . . . . . . . . . . . . (16) (89) (1,388)
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Net loss . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ (3,548) $ (3,862) $(55,096)
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Net loss per share . . . . . . . . . . . . . . . . . . . . . . . . . . $ (0.41) $ (0.99)
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Shares used in computing net loss per share. . . . . . . . . . . . . . 8,592 3,902
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Proforma net loss per share. . . . . . . . . . . . . . . . . . . . . . $ (0.35) $ (0.99)
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Shares used in computing proforma net loss per share . . . . . . . . . 10,280 3,902
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See accompanying note
BIOCIRCUITS CORPORATION
(A DEVELOPMENT STAGE COMPANY)
NOTES TO PROFORMA FINANCIAL STATEMENTS
PROFORMA MARCH 31, 1997
(UNAUDITED)
1. PRIVATE PLACEMENT AND PROFORMA IMPACT
On April 15, 1997, the Company closed a private placement which consisted
of the sale of 2,500,000 shares of its common stock (the "April 1997 Common
Stock Financing") to be issued in three tranches. The first tranche
resulted in gross proceeds of approximately $530,000 to the Company, the
second tranche, conditional upon the Company's satisfaction of certain
milestones for the second quarter of 1997 and stockholder approval of the
issuance of the shares, will result in gross proceeds of approximately
$1,190,000 to the Company and the third tranche, conditional upon the
Company's satisfaction of certain milestones by the end of fiscal 1997 and
stockholder approval of the issuance of the shares, will result in gross
proceeds to the Company of approximately $780,000. In addition, on April
15, 1997, the Company closed a private placement which consisted of the
sale of 5,447,000 units, consisting of one share of common stock and one
warrant to purchase one share of common stock to be issued in two
tranches (the "April 1997 Unit Financing"). The first tranche resulted in
gross proceeds to the Company of approximately $1,160,000, and the second
tranche, conditional upon the Company's satisfaction of certain milestones
for the second quarter 1997 and stockholder approval of the issuance of the
shares, will result in gross proceeds of approximately $4,290,000 to the
Company. The warrants in the April 1997 Unit Financing (the "April 1997
Warrants"), which expire eighteen months after they become exerciseable,
have an exercise price of $0.75 per share and cannot be exercised until
after stockholder approval which will not occur before the Company's 1997
Annual Meeting to be held on June 5, 1997. At the Company's option, the
Company may shorten the exercise period of the April 1997 Warrants in which
case the Warrants may become redeemable by the Company at $0.01 per share,
if the closing price for the Company's common stock is greater than or
equal to $2.00 per share for ten days. The April 1997 Common Stock
Financing and the April 1997 Unit Financing are referred to herein
collectively as the "April 1997 Financings."
The proceeds from the first tranche of the April 1997 Financings are
reflected on the proforma Balance Sheet and the private placements have no
effect on the proforma Statement of Operations. The proforma net loss per
share calculations are based upon 1,688,738 additional shares of Common
Stock from the private placement as though they were outstanding as of
January 1, 1997.