Company: RNGE
Filing Date: 2025-11-14
Form Type: 10-Q
Source: 0001493152-25-023395
Chunk: 45

Company: RANGE IMPACT, INC.
Filing Date: 2025-11-14
Form: 10-Q
Item: Part I, Item 1
Chunk 45
---
7. The Company is in the process
of evaluating the impact of adopting this guidance on our consolidated financial statement disclosures.

2.
ACQUISITION OF COLLINS BUILDING & CONTRACTING

On
August 31, 2023, the Company entered into a stock purchase agreement with the owner of Collins Building & Contracting, Inc. (“Collins
Building”) pursuant to which the owner agreed to sell all of the outstanding common stock of Collins Building to the Company in
exchange for (a) cash consideration of $1,000,000,
(b) a five5-year
secured promissory note in the principal amount of $2,000,000, bearing interest at 7.0% per annum (the “First Promissory Note”),
and (c) a two2-year secured promissory note in the principal amount of $2,035,250, bearing interest at 8.25% per annum (the “Second
Promissory Note”). The First Promissory Note was secured by the acquired real property and quarry infrastructure, and the Second
Promissory Note was secured by the acquired equipment.

The
Company accounted for the transaction as a business combination in accordance ASC 805 “Business Combinations”. The Company
performed an allocation of the purchase price paid for the assets acquired and the liabilities assumed. The fair values of the assets
acquired in that transaction are set forth below. Because the fair values exceeded the purchase price, we recognized a gain on the purchase
of $1,875,150. The allocation of the purchase price is based on management’s estimates and a third-party assessment of the fair
value of the equipment purchased.

SCHEDULE
OF BUSINESS ACQUISITION ALLOCATION OF PURCHASE PRICE 

    Fair value of assets acquired: 

    Equipment 
    $6,156,000 
  
    Land 
     554,900 
  
    Buildings 
     199,500 
  
    Total assets acquired 
     6,910,400 
  
    Less: Gain on bargain purchase price 
     (1,875,150)
  
    Purchase price 
    $5,035,250 
  
    Cash consideration 
     1,000,000 
  
    Long-term notes issued to the seller 
     4,035,250 
  
    Total purchase price 
    $5,035,250 
  
    Acquisition transaction costs incurred 
    $167,212 

As
discussed in Note