EX-99.2 3 ex99-2.htm EX-99.2

 

Exhibit 99.2

 

CORE AI HOLDINGS, INC.

(formerly known as Siyata Mobile Inc.)

 

UNAUDITED PRO FORMA CONDENSED COMBINED FINANCIAL INFORMATION

 

Introduction

 

On February 26, 2025, Core Gaming, Inc. (“Core Gaming”) entered into a Merger Agreement (the “Merger Agreement”) with Siyata Mobile Inc., a corporation existing under the laws of the Province of British Columbia (“Siyata Mobile”) and Siyata Core Acquisition U.S., Inc., a wholly-owned subsidiary of Siyata Mobile (“Merger Sub”) (the “Merger”). Upon completion of the Merger on October 3, 2025, (i) Core Gaming merged with and into Merger Sub, with Core Gaming continuing as the surviving entity and a wholly owned subsidiary of Siyata Mobile, and (ii) in exchange for the outstanding shares of Core Gaming’s common stock, Siyata Mobile issued 67,302,300 (16,825,577 after the 4-1 reverse split) common shares to the shareholders of Core Gaming based on an exchange ratio calculated as $160,000,000 divided by the volume-weighted average closing price of Siyata Mobile’s common shares on the Nasdaq Stock Market LLC for the 10-day trading period immediately preceding the effective time of the Merger. In connection with the Merger, Siyata Mobile Inc. was re-named Core AI Holdings, Inc. (“Core Holding”), and effective a 4-1 reverse stock split on October 7, 2025. Newbyera Technology Limited (“Newbyera”) is the sole operating subsidiary of Core Gaming.

 

 

 

 

UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET

AS OF JUNE 30, 2025

 

   Core Gaming
(Historical)		   Siyata Mobile
(Historical)		   Transaction accounting adjustments   Notes 

Core Holding

(Pro Forma Combined)

 
Assets                       
Current                       
Cash   3,180,395    6,483,881            9,664,276 
Trade And Other Receivables   11,239,789    689,585            11,929,374 
Prepaid Expenses   922,499    665,716    (901,545)  [2G]   259,670 
              (427,000)  [2I]     
Inventory   -    1,510,945            1,510,945 
Advance To Suppliers   -    889,513    901,545   [2G]   1,791,058 
    15,342,683    10,239,640            25,155,323 
Long Term Receivable   -    197,683            197,683 
Right Of Use Assets   -    436,424            436,424 
Equipment   -    145,231            145,231 
Intangible Assets   870    9,051,852            9,052,722 
Goodwill   -    -    12,616,138   [2A]   12,616,138 
Total Assets   15,343,553    20,070,830            47,603,521 
                        
Liabilities and Shareholders’ Equity                       
Current                       
Loans to Financial Institutions   -    218,873            218,873 
Sale of future receipts   -    273,283            273,283 
Tax payable   21,358    -    (21,358)  [2H]   - 
Accounts Payable And Accrued Liabilities   13,905,136    1,989,004    2,000,000   [2B]   17,915,498 
              21,358   [2H]   - 
Short Term Lease Liability   -    293,611            293,611 
Warrant Liability   -    252,236            252,236 
    13,926,494    3,027,007            18,953,501 
Long Term Lease Liability   -    211,474            211,474 
    -    211,474            211,474 
Total Liabilities   13,926,494    3,238,481            19,164,975 
                        
Shareholders’ Equity                       
Share Capital   2,569,566    125,424,413    (125,424,413)  [2C]   32,018,053 
              29,448,487   [2C]     
Reserves        14,927,501    (14,927,501)  [2D]   - 
Accumulated Other Comprehensive Loss   (10,297)   98,870    (98,870)  [2E]   (10,297)
Retained Deficit   (1,142,210)   (123,618,435)   123,618,435   [2F]   (3,569,210)
              (2,000,000)  [2B]     
              (427,000)  [2I]     
    1,417,059    16,832,349            28,438,546 
Total Liabilities and Shareholders’ Equity   15,343,553    20,070,830            47,603,521 

 

 

 

 

UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF LOSS

FOR THE SIX MONTHS ENDED JUNE 30, 2025

 

  

Core Gaming

(Historical)

   Siyata Mobile
(Historical)		   Transaction accounting adjustments   Notes 

Core Holding

(Pro Forma Combined)

 
Revenue   28,854,393    4,503,110            33,357,503 
Cost Of Sales   (29,479,919)   (3,675,546)           (33,155,465)
Gross Profit/(Loss)   (625,526)   827,564            202,038 
                        
Expenses                       
Amortization And Depreciation   -    831,802            831,802 
Development Expenses   -    331,600            331,600 
Selling And Marketing   -    2,238,228            2,238,228 
General And Administrative   433,989    2,640,496            3,074,485 
Inventory Impairment   -    37,200            37,200 
Inventory Loss (Income) From Water Damage   -    -            - 
Bad Debts (Recovered)   (238,491)   68,499            68,499 
Equity promotion and marketing   -    938,750            938,750 
Foreign Exchange   (136)   -    136   [2G]   - 
Other income   (71,942)   -    71,942   [2G]   - 
Total Operating Expenses   123,420    7,086,575            7,282,073 
                        
Net Operating Loss   (748,946)   (6,259,011)           (7,080,035)
                        
Other income                       
Investment income   -    -    71,942   [2G]   71,942 
                        
Other Expenses                       
Finance Expense - net   20,944    1,763,864            1,784,808 
Foreign Exchange        95,880    (136)  [2G]   95,744 
Change in reserve for claims   -    (484,609)           (484,609)
Gain on settlement of derivative   -    (36,882)           (36,882)
Total Other Expenses   20,944    1,338,253            1,359,061 
Loss Before Income Tax   (769,890)   (7,597,264)           (8,367,154)
Income tax expense   -    -            - 
Net Loss for The Period   (769,890)   (7,597,264)           (8,367,154)
Other Comprehensive Income   6,355    -            6,355 
Comprehensive Loss For the Period   (763,535)   (7,597,264)           (8,360,799)
                        
Weighted average shares (adjusted)   16,390,134    969,027            17,359,161 
Basic and diluted loss per share (adjusted)   (0.05)   (7.84)           (0.48)

 

 

 

 

UNAUDITED PRO FORMA CONDENSED COMBINED BALANCE SHEET

AS OF DECEMBER 31, 2024

 

   Core Gaming
(Historical)		   Siyata
(Historical)		   Transaction accounting adjustments   Notes  Pro Forma Combined 
Assets                       
Current                       
Cash   5,559,276    181,730            5,741,006 
Trade And Other Receivables   13,325,104    1,404,180            14,729,284 
Prepaid Expenses   2,141,620    119,802    (2,136,768)  [G]   124,654 
Inventory   -    3,942,896            3,942,896 
Advance To Suppliers   -    33,672    2,136,768   [G]   2,170,440 
    21,026,000    5,682,280            26,708,280 
Long Term Receivable   -    181,584            181,584 
Right Of Use Assets   -    582,485            582,485 
Equipment   -    157,820            157,820 
Intangible Assets   1,510    8,285,036            8,286,546 
Goodwill   -    -    13,856,507   [A]   13,856,507 
Total Assets   21,027,510    14,889,205            49,773,222 
                        
Liabilities and Shareholders’ Equity                       
Current                       
Loans to Financial Institutions   -    2,077,290            2,077,290 
Sale of future receipts   -    1,688,435            1,688,435 
Tax payable   21,269    -    (21,269)  [H]   - 
Accounts Payable And Accrued Liabilities   19,036,066    5,497,957    1,000,000   [B]   25,555,292 
              21,269   [H]   - 
Amount due to related parties                     - 
Short Term Lease Liability   -    296,366            296,366 
Warrant Liability   -    1,069,513            1,069,513 
    19,057,335    10,629,561            30,686,896 
Long Term Lease Liability   -    338,373            338,373 
    -    338,373            338,373 
Total Liabilities   19,057,335    10,967,934            31,025,269 
                        
Shareholders’ Equity                       
Share Capital   2,397,484    104,916,071    (104,916,071)  [C]   20,175,262 
              17,777,778   [C]     
Reserves        14,927,501    (14,927,501)  [D]   - 
Accumulated Other Comprehensive Loss   (15,087)   98,870    (98,870)  [E]   (15,087)
Retained Deficit   (412,222)   (116,021,171)   116,021,171   [F]   (1,412,222)
              (1,000,000)  [B]     
    1,970,175    3,921,271            18,747,953 
Total Liabilities and Shareholders’ Equity   21,027,510    14,889,205            49,773,222 

 

 

 

 

UNAUDITED PRO FORMA CONDENSED COMBINED STATEMENT OF LOSS

FOR THE YEAR ENDED DECEMBER 31, 2024

 

   Newbyera (Historical)   Siyata Mobile
(Historical)		   Transaction accounting adjustments   Notes 

Core Holding

(Pro Forma Combined)

 
Revenue   79,465,587    11,629,572            91,095,159 
Cost Of Sales   (77,812,937)   (9,487,165)           (87,300,102)
Gross Profit   1,652,650    2,142,407            3,795,057 
                        
Expenses                       
Amortization And Depreciation   -    1,679,839            1,679,839 
Development Expenses   -    625,023            625,023 
Selling And Marketing   -    4,480,013            4,480,013 
Equity promotion and marketing   -    5,920,239            5,920,239 
Inventory Impairment   -    230,312            230,312 
General And Administrative   1,182,360    4,859,690            6,042,050 
Bad Debts (Recovered)   1,570,860    6,926            1,577,786 
Impairment of intangibles   -    279,828            279,828 
Share-Based Payments   -    283,301            283,301 
Foreign Exchange   (28,206)   -    28,206   [2G]   - 
Other income   (335,697)   -    335,697   [2G]   - 
Total Operating Expenses   2,389,317    18,365,171            21,118,391 
                        
Net Operating Loss   (736,667)   (16,222,764)           (17,323,334)
                        
Other income                       
Investment income   -    -    335,697   [2G]   335,697 
                        
Other Expenses                       
Finance Expense   6,915    3,541,594            3,548,509 
Loss on issuance   -    6,267,400            6,267,400 
Loss on extinguishment of financial liability   -    601,163            601,163 
Impairment of investment   -    1,300,000            1,300,000 
Foreign Exchange   -    8,523    (28,206)  [2G]   (19,683)
Change in preferred share liability   -    (386,022)           (386,022)
Gain on settlement of derivative   -    (3,723,827)           (3,723,827)
Change In Fair Value of Warrant Liability   -    (48,681)           (48,681)
Transaction Costs   -    1,487,800    2,000,000   [2B]   3,487,800 
Total Other Expenses   6,915    9,047,950            11,026,659 
Loss Before Income Tax   (743,582)   (25,270,714)           (28,014,296)
Income tax expense   2,070    -            2,070 
Net Loss for The Period   (745,652)   (25,270,714)           (28,016,366)
Other Comprehensive Loss   (36,650)   -            (36,650)
Comprehensive Loss For the Period   (782,302)   (25,270,714)           (28,053,016)
                        
Weighted average shares (adjusted)   16,390,134    40,849            16,430,983 
Basic and diluted loss per share (adjusted)   (0.05)   (618.63)           (1.71)

 

 

 

 

Note 1 – Basis of Presentation

 

The accompanying unaudited pro forma condensed combined financial information was prepared in accordance with Article 11 of SEC Regulation S-X.

 

The unaudited pro forma condensed combined balance sheet was prepared using the unaudited historical balance sheet of Siyata Mobile as of June 30, 2025 and the unaudited historical balance sheet of Core Gaming Inc. as of June 30, 2025, taking into account the pro forma effect of the Merger. Siyata Mobile’s, Core Gaming’s and Newbyera’s fiscal years ended on December 31.

 

Core Gaming Inc. was incorporated on May 24, 2024, and acquired Newbyera in August 2024. Core Gaming’s primary activity through December 31 2024 has been investment holding of Newbyera. The unaudited pro forma condensed combined statements of loss were prepared using:

 

● the historical audited consolidated statement of loss of Siyata Mobile for the year ended December 31, 2024;

 

● the historical unaudited consolidated statement of loss of Siyata Mobile for the six months ended June 30, 2025;

 

● the historical unaudited statement of loss of Newbyera for the year ended December 31, 2024; and

 

● the historical unaudited consolidated statement of loss of Core Gaming for the six months ended June 30, 2025.

 

Siyata Mobile’s, Core Gaming’s and Newbyera’s historical financial statements were prepared in accordance with International Financial Reporting Standards and are presented in U.S. dollars. Certain reclassifications have been made to the historical financial statements of Core Gaming and Newbyera to conform to the financial statement presentation to be adopted by the combined company. These adjustments are related to the presentation of prepayment, foreign currency exchange gain, other incomes and tax payables. All such adjustments and reclassifications have been included in Pro Forma Adjustments in the Unaudited Pro Forma Condensed Combined Balance Sheet and Unaudited Pro Forma Condensed Combined Statement of Loss.

 

Because the former stockholders of Core Gaming own 84.5% of Core Holding’s outstanding common shares immediately following the closing of the Merger, and the management of Core Gaming will assume key positions in the management of Core Holding, Core Gaming is deemed to be the acquiring company for accounting purposes, and the Merger is accounted for as a reverse acquisition under the acquisition method of accounting for business combinations. Accordingly, the assets and liabilities of Core Holding will be measured at fair value and added to the assets and liabilities of Core Gaming, and the historical results of operations of Core Gaming will be reflected in the results of operations of Core Holding following the merger.

 

The total acquisition consideration (for accounting purposes) is equal to fair value of the number of equity interests that Core Gaming would have had to issue to give the owners of Siyata Mobile the same percentage equity interest in the combined company that results from the Merger. The related fair value of equity interests of Core Gaming is based on preliminary management valuations.

 

 

 

 

Under the acquisition method of accounting, identifiable assets and liabilities of Siyata Mobile will be recorded based on their estimated fair values as of the Effective Time. Goodwill is calculated as the difference between the estimated acquisition consideration and fair values of identifiable net assets acquired.

 

The estimated acquisition consideration and the preliminary allocation of the estimated acquisition consideration are, in part, based upon a preliminary management valuation, as described below, and estimates and assumptions are subject to change.

 

   June 30, 2025 
Cash   6,483,881 
Trade and other receivables   689,585 
Prepaid expenses   665,716 
Inventory   1,510,945 
Advance to suppliers   889,513 
Long Term Receivable   197,683 
Right Of Use Assets   436,424 
Equipment   145,231 
Intangible Assets   9,051,852 
Fair value of assets acquired   20,070,830 
      
Loans to Financial Institutions   218,873 
Sales of future receipts   273,283 
Accounts payable and accrued liabilities   1,989,004 
Lease obligations   293,611 
Warrant and preferred share liability   252,236 
Long Term Lease Liability   211,474 
Fair value of liabilities acquired   3,238,481 
      
Fair value of pro forma net assets acquired   16,832,349 
Goodwill   12,616,138 
Total estimated consideration (for accounting purpose)   29,448,487 

 

The final determination of the fair value of the identifiable net assets acquired may change significantly from these preliminary estimates. The actual acquisition accounting of the Merger will be based on the fair value of the acquisition consideration and the fair values of Siyata Mobile’s assets and liabilities as of the effective time.

 

 

 

 

Note 2 – Pro Forma Adjustments

 

The pro forma adjustments in the unaudited pro forma condensed combined financial information, which represent only transaction accounting adjustments, are as follows:

 

[A] To record the goodwill from Core Gaming’s acquisition of Siyata Mobile (for accounting purpose)
[B] To record the transaction costs for the Merger
[C] To record the exchange of Core Gaming’s common stock for Siyata Mobile’s common shares
[D] To eliminate Siyata Mobile’s historical reserves
[E] To eliminate Siyata Mobile’s historical other comprehensive loss
[F] To eliminate Siyata Mobile’s historical deficit
[G] To reclass certain balances to confirm to the combined company’s presentation
[H] To reclass certain balances to confirm to the combined company’s presentation
[I] To reclass certain balances to confirm to the combined company’s presentation

 

Note 3 – Loss Per Share

 

Net loss per share is calculated using the historical weighted average shares outstanding and the issuance of additional shares in connection with the Merger, assuming the shares were outstanding since January 1, 2024. As the Merger is being reflected as if it had occurred at the beginning of the periods presented, the calculation of weighted average shares outstanding for basic and diluted net loss per share assumes that the shares issuable relating to the Merger have been outstanding for the entire periods presented. The number of shares outstanding at June 30, 2025 and the average number of shares outstanding for the six months ended June 30, 2025 and the year ended December 31, 2024, have also been adjusted retrospectively due to the 4-1 reverse stock split that occurred on October 7, 2025.