<PAGE> 1
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
AMENDMENT NO. 1 TO FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported) January 16, 1997
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ABS Group Inc.
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(Exact name of registrant as specified in charter)
Delaware 0-19814 87-0462198
(State or Other (Commission (IRS Employer
Jurisdiction of File Number) Identification
Incorporation) Number)
818 East South Temple, Salt Lake City, Utah 84102
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(Address of principal executive offices) (Zip code)
Registrant's telephone number, including area code 801-521-8000
----------------------------
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(Former name or former address, if changed since last report)
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ITEM 5. OTHER EVENTS
On January 31, 1997 the Registrant filed, with the Securities and Exchange
Commission, a Form 8-K with date of report of January 16, 1997, wherein (in Item
5 thereof) it referred to (amongst other matters) the fact that on November 8,
1996 an 80% owned subsidiary of the Registrant, Marine Research USA, Inc.
acquired all of the issued and outstanding stock of Marine Research PTY. Ltd.,
an Australian corporation. The full contents of such 8-K are herewith
incorporated by reference as if fully set forth and repeated herein.
The financial statements of the aforesaid acquired company were included in
the audited consolidated financial statements of the Registrant in its Form
10-KSB for calendar year ended December 31, 1996.
Item 7(b) of such Form 8-K indicated that in accordance with Item 7(a)(4)
of the general instructions to Form 8-K pro forma financial statements would be
provided in an amendment to such Form 8-K. Accordingly, this first amendment to
such Form 8-K is being filed solely for the purpose indicated and referred to in
Item 7 hereof.
ITEM 7. FINANCIAL STATEMENTS , PRO FORMA FINANCIAL INFORMATION AND EXHIBITS
(b) Pro Forma Financial Information - In accordance with item 7(a)(40
of the general instructions to Form 8-K pro forma financial information is
filed as Exhibit A.
(c) Exhibits -
Exhibit A - Pro forma financial information.
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<PAGE> 3
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the Registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
ABS GROUP INC.
/Emanuel A. Floor/
By
--------------------------
Emanuel A. Floor, President
Dated: June 2, 1997
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EXHIBIT INDEX
Exhibit No. Description
99.A Pro Form Financial Information
27 Financial Data Schedule
<PAGE> 1
EXHIBIT A
ABS GROUP INC.
Consolidated Proforma Balance Sheet
November 7, 1996
(Unaudited)
ASSETS
<TABLE>
<CAPTION>
Proforma
Marine Adjustments
ABS Group Research Increase Proforma
Inc. USA, Inc. (Decrease) Consolidation
---------- ---------- ---------- ----------
<S> <C> <C> <C> <C>
CURRENT ASSETS
Cash $ 94 $ -- $ -- $ 94
---------- ---------- ---------- ----------
Total Current Assets 94 -- -- 94
---------- ---------- ---------- ----------
PROPERTY AND
EQUIPMENT - NET -- 54,200 -- 54,200
---------- ---------- ---------- ----------
OTHER ASSETS
Patents/Intellectual
property -- 604,610 (31,648) 572,962
Investment in joint
venture 1,000,000 -- -- 1,000,000
---------- ---------- ---------- ----------
Total Other Assets 1,000,000 604,610 (31,648) 1,572,962
---------- ---------- ---------- ----------
TOTAL ASSETS $1,000,094 $ 658,810 $ (31,648) $1,627,256
========== ========== ========== ==========
</TABLE>
See Summary of Assumptions and Disclosures and Accountants' Report
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<PAGE> 2
ABS GROUP INC.
Consolidated Proforma Balance Sheet
November 7, 1996
(Unaudited)
LIABILITIES AND STOCKHOLDERS' EQUITY
<TABLE>
<CAPTION>
Proforma
Marine Adjustments
ABS Group Research Increase Proforma
Inc. USA, Inc. (Decrease) Consolidation
----------- ----------- ----------- -----------
<S> <C> <C> <C> <C>
CURRENT LIABILITIES
Accounts payable $ 56,064 $ -- $ -- $ 56,064
Other current liabilities 23,662 -- -- 25,662
----------- ----------- ----------- -----------
Total Current Liabilities 79,726 -- -- 79,726
----------- ----------- ----------- -----------
LONG-TERM DEBT
Notes payable 150,000 -- -- 150,000
----------- ----------- ----------- -----------
Total Liabilities 229,726 -- -- 229,726
----------- ----------- ----------- -----------
MINORITY INTEREST -- -- 131,762 131,762
----------- ----------- ----------- -----------
STOCKHOLDERS' EQUITY (DEFICIT)
Common stock; par value
$0.0001; 10,000,000 shares
authorized; 2,855,374
issued and outstanding 236 80 (30) 286
Additional paid-in capital 9,339,029 658,730 (131,732) 9,866,027
Accumulated deficit (8,568,897) -- (31,648) (8,600,545)
----------- ----------- ----------- -----------
Total Stockholders' Equity 770,368 658,810 -- 1,265,768
----------- ----------- ----------- -----------
TOTAL LIABILITIES AND
STOCKHOLDERS'
EQUITY $ 1,000,094 $ 658,810 $ -- $ 1,627,256
=========== =========== =========== ===========
</TABLE>
See Summary of Assumptions and Disclosures and Accountants' Report
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<PAGE> 3
ABS GROUP INC.
Consolidated Proforma Statement of Operations
November 7, 1996
(Unaudited)
<TABLE>
<CAPTION>
For the Period from
January 1, 1995 Through November 7, 1996
--------------------------------------------------
Marine
ABS Group Research Proforma Proforma
Inc. USA, Inc. Adjustments Consolidation
--------- --------- --------- ---------
<S> <C> <C> <C> <C>
NET SALES $ -- $ -- $ -- $ --
COST OF SALES -- -- -- --
--------- --------- --------- ---------
GROSS MARGIN -- -- -- --
EXPENSES 143,889 -- 31,648 175,507
--------- --------- --------- ---------
LOSS FROM OPERATIONS (143,859) -- (31,648) (175,507)
OTHER INCOME (EXPENSE) -- -- -- --
--------- --------- --------- ---------
NET LOSS $(143,859) $ -- $ (31,648) $(175,507)
========= ========= ========= =========
</TABLE>
See Summary of Assumptions and Disclosures and Accountants' Report
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<PAGE> 4
ABS GROUP INC.
Statements of Assumptions and Disclosures for the
Consolidated Proforma Balance Sheet
November 7, 1996
(Unaudited)
BACKGROUND AND HISTORICAL INFORMATION
ABS Group, Inc. (formerly Advanced Biological Systems, Inc.) was
incorporated under the laws of the State of Delaware on October 3, 1988,
discontinued operations during 1992, and was inactive until 1996. On
November 7, 1996, the Company acquired MRUSA and MRPL. The Company is
currently engaged in the production and sale of nutritional supplements.
Marine Research USA (MRUSA) was incorporated in the State of Utah on
November 6, 1996 for the purpose of facilitating the purchase of Marine
Research Pty. Ltd. by ABS Group Inc. (formerly Advanced Biological
Systems, Inc.) MRUSA owns 100% of the issued and outstanding stock of
Marine Research Pty. Ltd.
Marine Research Pty. Ltd. (MRPL) was incorporated under the laws of the
State of Queensland Australia on February 22, 1991 under the name of
Myalldeen Pty. Ltd. MRPL was inactive until November of 1996 when it was
purchased by MRUSA. Since that time, MRPL has been engaged in the
production and sale of registered therapeutic products in Australia and a
nutritional supplement outside of Australia, the primary ingredient of
which is Sea Cucumber.
PROFORMA TRANSACTIONS
On November 7, 1996, the Company entered into an Asset Acquisition and
Financing Agreement with Marine Research USA, Inc., Marine Research Pty.
Ltd. and Samuel J. Grant, whereby the Company issued 500,000 shares of its
restricted common stock to Mr. Grant as an inducement for him to transfer
certain intellectual property and operating equipment to MRPL. As a result
of the transaction, MRUSA became owner of 100% of the issued and
outstanding shares of its MRPL. The Company became 80% owner of MRUSA and
Mr. Grant became 20% owner of MRUSA.
PROFORMA ADJUSTMENTS
ABS Group Inc. issued 500,000 shares of common stock in exchange for 80%
of the outstanding shares of MRUSA. The proforma adjustments have been
prepared under the purchase method of accounting for business combinations
and all significant inter-company transactions have been eliminated. The
proforma adjustments to record the merger of the companies under the
purchase method of accounting for business combinations are:
1) Acquisition of 80% interest in MRUSA for 500,000 shares of ABS Group,
Inc.:
<TABLE>
<S> <C>
Common stock $ 50
Additional paid-in capital (50)
------------
Total $ --
============
</TABLE>
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<PAGE> 5
ABS GROUP INC.
Statements of Assumptions and Disclosures for the
Consolidated Proforma Balance Sheet
November 7, 1996
(Unaudited)
PROFORMA ADJUSTMENTS (continued)
<TABLE>
<S> <C>
2) Eliminate the common stock of MRUSA:
Common stock $ (80)
Additional paid-in capital 80
-----------
Total $ --
===========
3) Record 20% minority interest in MRUSA:
Minority Interest $ 131,762
Additional paid-in capital (131,762)
-----------
Total $ --
===========
4) Record amortization of Patents/Intellectual Property:
Patents/Intellectual
property $ 31,648
Accumulated Deficit (31,648)
-----------
Total $ --
===========
</TABLE>
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<TABLE> <S> <C>
<ARTICLE> 5
<S> <C>
<PERIOD-TYPE> OTHER
<FISCAL-YEAR-END> DEC-31-1996
<PERIOD-START> JAN-01-1996
<PERIOD-END> NOV-07-1996
<CASH> 94
<SECURITIES> 0
<RECEIVABLES> 0
<ALLOWANCES> 0
<INVENTORY> 0
<CURRENT-ASSETS> 94
<PP&E> 54,200
<DEPRECIATION> 0
<TOTAL-ASSETS> 0
<CURRENT-LIABILITIES> 1,627,256
<BONDS> 0
0
0
<COMMON> 286
<OTHER-SE> 1,265,482
<TOTAL-LIABILITY-AND-EQUITY> 1,627,256
<SALES> 0
<TOTAL-REVENUES> 0
<CGS> 0
<TOTAL-COSTS> 175,507
<OTHER-EXPENSES> 0
<LOSS-PROVISION> 0
<INTEREST-EXPENSE> 0
<INCOME-PRETAX> (175,507)
<INCOME-TAX> 0
<INCOME-CONTINUING> (175,507)
<DISCONTINUED> 0
<EXTRAORDINARY> 0
<CHANGES> 0
<NET-INCOME> (175,507)
<EPS-PRIMARY> (0.06)
<EPS-DILUTED> (0.06)
</TABLE>
