Company: RIVF
Filing Date: 2025-09-10
Form Type: 10-Q
Source: 0001493152-25-013005
Chunk: 6

Company: Rivulet Entertainment, Inc.
Filing Date: 2025-09-10
Form: 10-Q
Item: Part I, Item 1
Chunk 6
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    Net change in cash 
     (1,088) 
     (2,208)
  
    Cash, beginning of period 
     101,721  
     2,683 
  
    Cash, end of period 
    $100,633  
    $475 

    Supplemental disclosure of cash flow information: 

    Cash paid for interest 
    $590,265  
    $- 
  
    Income taxes paid 
    $-  
    $- 

    Supplemental disclosure of non-cash activity: 

    Debt forgiveness related to reverse merger transaction (Note 8) 
    $8,077,965  
    $- 
  
    Recapitalization 
    $(3,626,770) 
    $- 

The
accompanying notes are an integral part of these condensed consolidated financial statements.

    (1)
    Financial
    information for the comparative period reflects the combination of certain former Rivulet Media, inc. entities under common control
    that were transferred as part of the reverse merger transaction

 4

Rivulet
Entertainment, Inc.

Notes
to Unaudited Condensed Consolidated Financial Statements

For
The Three and Nine Months Ended March 31, 2025

NOTE
1 – NATURE OF THE ORGANIZATION AND BUSINESS

On
July 7, 2024 (the “Closing Date”), Rivulet Entertainment, Inc. (“The Company” or “Rivulet”)
completed its acquisition of certain wholly owned subsidiaries of Rivulet Media, Inc. In consideration for the acquisition of the
entities, the Company agreed to transfer approximately $10
million and 97
million shares to the current owners of Rivulet Media, Inc. On May 19, 2025 the agreement was amended to reduce the cash portion of
the purchase price from $10,000,000
to $6,450,000.
Furthermore, the conditions subject to closing and the default provisions were eliminated. As of the date of this filing, the
Company has transferred $2,950,000
to the former owners of Rivulet Media, Inc. and had an outstanding balance of $3,500,000,
which was classified as other current liabilities on the Company’s condensed consolidated Balance Sheets as of March 31, 2025.
The transaction was accounted for as a reverse merger whereby the combined entities of Rivulet Media, Inc. were determined to be the
accounting