Acquisitions and Divestitures (Tables)
|
12 Months Ended |
Dec. 31, 2021 |
|---|
| Business Acquisition [Line Items] |
|
| Summary of the Aggregate Purchase Price Consideration Paid |
The
following table summarizes the aggregate purchase price consideration paid for the acquisition of the asset:
Summary
of the Aggregate Purchase Price Consideration Paid
| |
|
April 17, 2021 |
|
| |
|
|
|
| Fair value of shares reserved for future issuance and earn out shares |
|
$ |
7,400,000 |
|
| Fair value of assumed notes payable |
|
|
151,987 |
|
| Total |
|
|
7,551,987 |
|
|
| Summary of Preliminary Purchase Price Allocation of Fair Values of the Assets Acquired and Liabilities Assumed |
The
following table summarizes the purchase price allocation of fair values of the assets acquired and liabilities assumed during 2020 at
the date of acquisition:
Summary of Preliminary Purchase Price Allocation of Fair Values of the Assets Acquired and Liabilities Assumed
| |
|
October 16, 2020 |
|
| Cash and cash equivalents |
|
$ |
180,489 |
|
| Accounts receivable |
|
|
20,217 |
|
| Inventory |
|
|
492,793 |
|
| Other current assets |
|
|
346,095 |
|
| Goodwill |
|
|
591,729 |
|
| Intangible assets |
|
|
3,600,000 |
|
| Total assets acquired |
|
$ |
5,231,323 |
|
| Notes payable |
|
|
62,500 |
|
| Current liabilities |
|
|
573 |
|
| Total liabilities assumed |
|
|
63,073 |
|
| Total net assets acquired |
|
|
5,168,250 |
|
|
| Schedule of business acquisition, pro forma information |
The
following represents the unaudited pro forma consolidated income statement as if the acquisitions had been included in the consolidated
results of the Company for the full years ending December 31, 2021 and 2020:
Schedule
of business acquisition, pro forma information
| |
|
2021 |
|
|
2020 |
|
| |
|
|
|
|
|
|
| Revenues, net |
|
$ |
9,791,372 |
|
|
$ |
12,016,305 |
|
| Cost of revenues |
|
|
7,312,602 |
|
|
|
9,570,205 |
|
| Gross profit |
|
|
2,478,770 |
|
|
|
2,446,100 |
|
| |
|
|
|
|
|
|
|
|
| Operating expenses: |
|
|
|
|
|
|
|
|
| Selling, general and administrative |
|
|
86,422,848 |
|
|
|
11,108,548 |
|
| Impairment |
|
|
3,741,729 |
|
|
|
- |
|
| Operating loss |
|
|
(87,685,807 |
) |
|
|
(8,662,448 |
) |
| |
|
|
|
|
|
|
|
|
| Other income (expense): |
|
|
|
|
|
|
|
|
| Other income (expense) |
|
|
(635,701,478 |
) |
|
|
(3,297,316 |
) |
| Loss before income taxes |
|
|
(723,387,285 |
) |
|
|
(11,959,764 |
) |
| Income tax expense (benefit) |
|
|
194,539 |
|
|
|
19,197 |
|
| Net loss from continuing operations |
|
|
(723,581,824 |
) |
|
$ |
(11,978,961 |
) |
|
| Schedule of Business Combination of Assets and Liabilities |
The
table below shows the assets and liabilities that the Company was relieved of in the transaction:
Schedule of Business Combination of Assets and Liabilities
| |
|
February 17, 2020
|
|
| Accounts payable |
|
|
4,005,605 |
|
| Accrued Expenses |
|
|
370,289 |
|
| Income Tax Payable |
|
|
14,473 |
|
| Notes Payable |
|
|
900,000 |
|
| Non-Controlling Interest |
|
|
26,393 |
|
| Shares to be issued to Buyer |
|
|
(405,000 |
) |
| Gain on divestiture |
|
$ |
4,911,760 |
|
|
| BTL [Member] |
|
| Business Acquisition [Line Items] |
|
| Schedule of Loss on Income Operations of Discontinued Operations |
The
table below shows the assets that the Company transferred to BTL and the components of the loss on discontinued operations:
Schedule of Loss on Income Operations of Discontinued Operations
| |
|
April 21, 2021
|
|
| Cash received from buyer |
|
|
2,529,565 |
|
| |
|
|
|
|
| Accounts receivable |
|
|
(293,005 |
) |
| Inventory |
|
|
(665,522 |
) |
| Prepaid expenses |
|
|
(160,666 |
) |
| Intangible assets |
|
|
(5,540,952 |
) |
| Loss on divestiture |
|
|
4,130,580 |
|
| Operating loss of discontinued operations |
|
|
178,200 |
|
| Bankruptcy costs |
|
|
803,320 |
|
| Loss on discontinued operations |
|
|
5,112,100 |
|
|
| Lomotif Private Limited [Member] |
|
| Business Acquisition [Line Items] |
|
| Summary of the Aggregate Purchase Price Consideration Paid |
The
following table summarizes the aggregate purchase price consideration paid:
Summary
of the Aggregate Purchase Price Consideration Paid
| |
|
July 25, 2021 |
|
| Cash paid |
|
$ |
92,000,000 |
|
| Fair value of issued shares |
|
|
8,882,500 |
|
| Issuance of debt to selling shareholder* |
|
|
8,000,000 |
|
| Fair value of conversion feature to selling shareholder* |
|
|
882,500 |
|
| Purchase consideration |
|
$ |
109,765,000 |
|
| * |
|
The full amount
of $8,000,000 was converted into 2,750,000 shares of common stock of the Company on September 13, 2021. |
|
| Summary of Preliminary Purchase Price Allocation of Fair Values of the Assets Acquired and Liabilities Assumed |
The
Company believes that this combination will strengthen its future growth opportunities in digital media and content technologies. The
Company accounted for this acquisition as a business combination under the acquisition method of accounting. The following table summarizes
the purchase price allocation of fair values of the assets acquired and liabilities assumed at the date of acquisition:
Summary of Preliminary Purchase Price Allocation of Fair Values of the Assets Acquired and Liabilities Assumed
| |
|
July 25, 2021 |
|
| Cash and cash equivalents |
|
$ |
1,238,800 |
|
| Accounts receivable |
|
|
|
|
| Inventory |
|
|
|
|
| Prepaid expenses and other current assets |
|
|
244,426 |
|
| Property and equipment |
|
|
91,007 |
|
| Intangible assets |
|
|
27,000,000 |
|
| Goodwill |
|
|
116,188,021 |
|
| Total assets acquired |
|
|
144,762,254 |
|
| |
|
|
|
|
| Debt |
|
|
4,650,000 |
|
| Accounts payable |
|
|
918,665 |
|
| Accrued expenses and other liabilities |
|
|
1,987,340 |
|
| Current liabilities |
|
|
|
|
| Total liabilities assumed |
|
|
7,556,004 |
|
| Noncontrolling interest |
|
|
(27,441,250 |
) |
| |
|
|
|
|
| Total assets acquired, net |
|
|
109,765,000 |
|
|
| TBD Safety LLC [Member] |
|
| Business Acquisition [Line Items] |
|
| Summary of the Aggregate Purchase Price Consideration Paid |
The
following table summarizes the aggregate purchase price consideration paid for acquisitions during 2020:
Summary of the Aggregate Purchase Price Consideration Paid
| |
|
October 16, 2020 |
|
| Fair value of issued common shares |
|
$ |
4,203,632 |
|
| Fair value of issued preferred shares |
|
|
764,618 |
|
| Fair value of contingent consideration |
|
|
200,000 |
|
| Purchase consideration |
|
$ |
5,168,250 |
|
|