SUBSEQUENT EVENTS

12 Months Ended

Sep. 30, 2015

NOTE 15 – SUBSEQUENT EVENTS

On October 23, 2015, the Company issued a convertible note to an unrelated third party, in the amount of $515,000 which has twelve (12) month maturity, carries a 5 % per annum interest rate and can be converted into Company’s common stock at a conversion price equaling 75% of the market price after six months from the date of issuance at the holder’s option.

On November 04, 2015, the Company issued a convertible note to another unrelated third party in the amount of $500,000 which has twelve (12) month maturity, carries a 10% per annum interest rate and can be converted into Company’s common stock at a conversion price equaling 75% of the market price after six months from the date of issuance at the holder’s option.

From October 1, 2015 to December 11, 2015, the company issued 369,265 shares of common stock pursuant to the conversion of $574,000 of convertible notes.

On December 15, 2015 Company acquired Advanced Industrial Services Inc. and its affiliate subsidiary company based in York, Pennsylvania for purchase price of approximately $7,500,000, and acquisition related expenses of $476,340. The purchase price was paid with $5,000,000 in cash, $1,500,000 in a seller's note, and $1,000,000 in the form of 315,458 shares of Cemtrex restricted Common Stock. AIS averaged approximately $23 million in annual revenue and $2.4 million in annual normalized EBITDA over the two calendar years 2013 and 2014. The Company worked with a local bank to finance the $5.25 million self-amortizing, seven (7) year term loan and $3.5 million working capital credit line for the transaction. The loans carry annual interest rates of 30 day LIBOR plus 2.25 and 2.0 respectively. The seller’s note is for 3 years at 6% amortizing in equal monthly payments starting February 15, 2016.