On the Company entered into an Asset and Franchise Purchase Agreement under which (i) the Company repurchased from the seller operating franchise in San Diego, California and (ii) the parties agreed to mutually terminate a franchise agreement for an operating franchise. The Company intends to operate the remaining franchise as a company-managed clinic. The total purchase price for the transaction was less of deferred revenue resulting in total purchase consideration of related to the transaction.

 

The Company incurred approximately of transaction costs related to this acquisition, which is included in general and administrative expenses in the accompanying statements of operations.

  

 

The following summarizes the aggregate estimated fair values of the assets acquired and liabilities assumed during as of the acquisition date:

 

Property and equipment		$	17,964
Intangible assets			129,000
Favorable leases			15,302
Total assets acquired			162,266
Bargain purchase gain			(75,264	)
Net purchase price		$	87,002

 

Intangible assets in the table above consist of reacquired franchise rights of amortized over an estimated useful life of years and customer relationships of amortized over an estimated useful life of years.

 

The following table summarizes selected unaudited pro forma condensed consolidated statements of operations data for the and months ended and as if the acquisitions in had been completed on

 

		Pro Forma for the Three Months Ended								Pro Forma for the Six Months Ended
		June 30, 2018				June 30, 2017				June 30, 2018				June 30, 2017
Revenues, net		$	7,561,471			$	6,082,097			$	14,659,386			$	11,663,316
Net income (loss)		$	139,769			$	(1,022,668	)		$	(440,214	)		$	(2,357,491	)

 

This selected unaudited pro forma consolidated financial data is included only for the purpose of illustration and does necessarily indicate what the operating results would have been if the acquisitions had been completed on that date. Moreover, this information is indicative of what the Company’s future operating results will be. The information for and prior to the acquisitions is included based on prior accounting records maintained by the acquired companies. In some cases, accounting policies differed materially from accounting policies adopted by the Company following the acquisitions. For this information includes actual data recorded in the Company’s financial statements for the period subsequent to the date of the acquisitions. The Company’s consolidated statement of operations for the and months ended includes net revenue and net income of approximately and respectively, attributable to the acquisitions.

 

The pro forma amounts included in the table above reflect the application of accounting policies and adjustment of the results of the clinics to reflect the additional depreciation and amortization that would have been charged assuming the fair value adjustments to property and equipment and intangible assets had been applied from