VYSTAR CORPORATION 8-K/A

Exhibit 99.2

VYSTAR CORPORATION 

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED BALANCE SHEET

APRIL 30, 2019

	Vystar			Murida Furniture Co., Inc.			Pro Forma				Pro Forma
ASSETS	Corporation			dba Rotmans			Adjustments*				Combined
Current assets:
Cash	$	363,830		$	849		$	(40,469	)		$	324,210
Accounts and notes receivable		125,245			44,502			(105,000	)	d		64,747
Inventories		541,003			4,959,502			(10,397	)	e		5,490,108
Investments - equity securities		—			131,324			—				131,324
Prepaid expenses and other current assets		9,356			375,477			—		a		384,833
Deferred commission costs		—			110,000			—				110,000
Total current assets		1,039,434			5,621,654			(155,866	)			6,505,222
Operating lease right-of-use assets		—			—			9,906,628		a,b		9,906,628
Property and equipment, net		283,040			996,210			602,183		a		1,881,433
Other assets:
Intangible assets, net		1,355,545			—			1,075,667		a		2,431,212
Goodwill		147,092			—			377,395		a,b		524,487
Notes receivable, net of current maturities		—			146,020			—				146,020
Deferred commission costs, net of current maturities		—			242,922			—				242,922
Inventories, long-term		—			540,639			—				540,639
Other		—			37,164			—				37,164
Total other assets		1,502,637			966,745			1,453,062				3,922,444
Total assets	$	2,825,111		$	7,584,609		$	11,806,007			$	22,215,727
LIABILITIES AND STOCKHOLDERS’ EQUITY (DEFICIT)
Current liabilities:
Line of credit	$	1,361,945		$	2,269,707		$	—			$	3,631,652
Long-term debt - current maturities		—			94,000			58,000				152,000
Accounts payable		755,612			1,916,400			—				2,672,012
Accrued expenses		7,777			458,399			—				466,176
Accrued share - based compensation		297,525			—			—				297,525
Operating lease liabilities - current maturities		—			—			964,000		a,b		964,000
Shareholder, convertible and contingently convertible notes payable and accrued interest - current maturities		101,742			—			—				101,742
Unearned revenue		—			2,038,296			—				2,038,296
Due to related party		—			105,000			(105,000	)	d		—
Total current liabilities		2,524,601			6,881,802			917,000				10,323,403
Long-term liabilities:
Related party line of credit		500,000			—			—				500,000
Long-term debt, net of current maturities		—			153,765			432,358		c		586,123
Operating lease liabilities, net of current maturities		—			—			8,240,189		a,b		8,240,189
Unearned revenue, net of current maturities		—			983,117			(102,465	)	a		880,652
Shareholder, convertible and contingently convertible notes payable and accrued interest, net of current maturities		576,536			—			1,598,625		c		2,175,161
Total long-term liabilities		1,076,536			1,136,882			10,168,707				12,382,125
Total liabilities		3,601,137			8,018,684			11,085,707				22,705,528
Stockholders’ equity (deficit):
Convertible preferred stock, $0.0001 par value 15,000,000 shares authorized; 13,828 issued and outstanding at April 30, 2019		1			—			—				1
Common stock, $0.0001 par value, 1,500,000,000 shares authorized; 1,057,460,000 shares issued and outstanding at April 30, 2019		105,746			29,000			(29,000	)	a		105,746
Additional paid-in capital		35,730,012			—			—				35,730,012
Accumulated deficit		(36,611,755	)		(463,075	)		(286,790	)	a		(37,361,620	)
Common stock in treasury, at cost; 30,000 shares at April 30, 2019		(30	)		—			—				(30	)
Total Vystar stockholders’ deficit		(776,026	)		(434,075	)		(315,790	)			(1,525,891	)
Noncontrolling interest		—			—			1,036,090		a		1,036,090
Total stockholders’ equity (deficit)		(776,026	)		(434,075	)		720,300				(489,801	)
Total liabilities and stockholders’ equity (deficit)	$	2,825,111		$	7,584,609		$	11,806,007			$	22,215,727

* Pro forma adjustments:

a - Purchase price allocation

b - Adoption of ASC 842 - Leases

c - Recognition of notes payable related to the acquisition of Rotmans

d - Elimination of intercompany loans

e - Elimination of intercompany unrealized profit in inventory

VYSTAR CORPORATION 

UNAUDITED PRO FORMA CONDENSED CONSOLIDATED STATEMENT OF OPERATIONS

FOR THE YEAR ENDED APRIL 30, 2019

	Vystar			Murida Furniture Co., Inc.			Pro Forma				Pro Forma
	Corporation			dba Rotmans			Adjustments*				Consolidated
Revenue	$	585,308		$	29,896,170		$	(81,748	)	a	$	30,399,730
Cost of revenue		588,849			15,578,127			(71,351	)	a		16,095,625
Gross profit		(3,541	)		14,318,043			(10,397	)	a		14,304,105
Operating expenses		5,441,277			15,105,449			521,878		b		21,068,604
Loss from operations		(5,444,818	)		(787,406	)		(532,275	)			(6,764,499	)
Other income (expense):
Gain on settlement of debt		68,503			—			—				68,503
Interest expense, net		(294,960	)		(138,633	)		(99,452	)	b		(533,045	)
Change in fair value of derivative liabilities		(1,313,789	)		—			—				(1,313,789	)
Other income (expense)		(381	)		187,679			—				187,298
Total other income (expense)		(1,540,627	)		49,046			(99,452	)			(1,591,033	)
Net loss		(6,985,445	)		(738,360	)		(631,727	)			(8,355,532	)
Net loss attributable to noncontrolling interest		—			310,111			—				310,111
Net loss attributable to Vystar	$	(6,985,445	)	$	(428,249	)	$	(631,727	)		$	(8,045,421	)
Basic and diluted loss per share:
Net loss per share	$	(0.02	)								$	(0.02	)
Basic and diluted weighted average number of common shares outstanding		385,813,059										385,813,059

* Pro forma adjustments:

a - Elimination of intercompany transactions

b - Purchase price adjustments as if transaction completed May 1, 2018