Yes they did use the LOC to pay for the acquisition, how much I do not know at this time. I would assume that information would be made available either in an 8K or on the next 10Q out in November.
You can probably call Paul Hunston the CEO to find this information out.
As far as the assets are concerned, you will note that any sales and revenue that Natural Planet had prior to and going forward now become part of FHAI's financials so I would expect to see some of these numbers show up in the next filing.
Here is a post I made on another board concerning the recent events.
They have acquired another company Natural Planet, Inc using their $5M line of credit. Why is this great news? Well let me illustrate.
1. By using their line of credit, they do not have to issue shares onto the open market and thus the issue of dilution becomes null. In fact this company as far as my research tells me has not issued open market shares in well over a year if not longer. They did a 2 for 1 forward split on December 23rd 2008, although for what reason I do not know. As you may know forward splits are 99% of the time very positive for both the company and it's investors.
2. Prior to the acquistion yesterday Natural Planet was basically the sole distributor of FHAI's one and only currently on the market product which is called VitaLife. You can read about VitaLife on the companies website. With the acquisition however, FHAI gained control over ALL of Natural Planet's 50 already on the market products. In addition they also gained full access to Natural Planet's distribution chain which presently covers many countries across several continents. This essentially turned FHAI into a multinational company overnight. Going through the filings one would note that as a development state company they had realized little to no revenues as they sought to expand their marketing awareness. With the acqusition in effect, they automatically add Natural Planet's already budding business revenues to their own. This will have the effect of instantly adding VERY good revenue numbers to their next 10Q which will be due out on or around November 19th 2009.
3. Recent data notes that the anti-aging market just in the U.S alone is around 20 BILLION dollars a year and is growing at an 8% rate each year. Now factor in the rest of the world where these product can and are sold, if you estimate FHAI taking just 1% of the U.S Market that is 200 Million dollars in revenues. For a company with just 100M in shares outstanding that is HUGE.
There is a TON of data available on all of these products, and I would encourage anyone interested in FHAI to check this information out.
From a stock point of view, this has a lot of potential over the next 6 months depending on the numbers they are able to product. The stock moves very quickly on any sort of volume at the ask.
