ETHERSTACK PLC — Regulatory Filings 2012

Sep 4, 2012

Proforma Consolidated balance sheet

The following table sets out the historical and revised proforma balance sheets of Etherstack as at 31 December 2011.

US $ Thousands
Balance sheet	Historical	Equity raising	Pro Forma
NON CURRENT ASSETS
Intangible Assets	5,389		5,389
Property Plant and equipment	243		243
Total non-current assets	5,632		5,632
NON CURRENT ASSETS
Inventories	202		202
Trade and Other receivables	3,411		3,411
Cash and Bank balances	2,660	2,180	4,766
Total current assets	6,273	2,180	8,379
TOTAL ASSETS	11,905	2,180	14,011
CURRENT LIABILITIES
Trade and other payables	1,910		1,910
Current tax liabilities	811		811
Total Current Liabilities	2,721		2,721
NON CURRENT LIABILITIES
Other	-		-
Total Non Current Liabilities
Total Liabilities	2,721		2,721
NET CURRENT ASSETS	3,552	2,180	5,658
NET ASSETS	9,184	2,180	11,290
EQUITY
Share capital	226	12	238
Share Premium account	3,519	2,168	5,613
Merger reserve	(191)		(191)
Share based payment reserve	48		48
Retained earnings	5,582		5,582
TOTAL EQUITY	9,184	2,180	11,290

Pro forma adjustments

The following adjustments have been made in the presentation of the pro forma consolidated balance sheet.

Impact of the IPO

Pro forma adjustments to reflect the Offer have been made as follows:

Equity raising:

• issue of CDIs to the value of AUD$3.073 million being the amount actually raised; and

• costs directly related to the Offer of AUD$930,000 reflected as a reduction against the equity raised.

Use of proceeds from the Offer:

• the proceeds of the Offer will be added to the Company’s cash reserves to provide additional working capital, fund technology developments and pay the costs of the Offer. Pro forma adjustments have been made to the balance sheet as at 31 December 2011 to reflect this by increasing the cash balance by the net proceeds of the offer USD$2,180,000.