UNITED STATES
SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

  

 

FORM 6-K

  

 

REPORT OF FOREIGN PRIVATE ISSUER

PURSUANT TO RULE 13a-16 OR 15d-16 UNDER

THE SECURITIES EXCHANGE ACT OF 1934

 

For the month of December 2019

  

MMTEC, INC.

(Translation of registrant’s name into English)

  

AF, 16/F, Block B, Jiacheng Plaza, 18 Xiaguangli, Chaoyang District, Beijing, 100027

People’s Republic of China.

Tel: +86 10 5617 2312

(Address of Principal Executive Office)

 

Indicate by check mark whether the registrant files or will file annual reports under cover of Form 20-F or Form 40-F.

 

Form 20-F ☒             Form 40-F ☐

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(1): ☐

 

Indicate by check mark if the registrant is submitting the Form 6-K in paper as permitted by Regulation S-T Rule 101(b)(7): ☐

 

Indicate by check mark whether the registrant by furnishing the information contained in this Form is also thereby furnishing the information to the Commission pursuant to Rule 12g3-2(b) under the Securities Exchange Act of 1934.

 

Yes ☐           No ☒

 

If “Yes” is marked, indicate below the file number assigned to the registrant in connection with Rule 12g3-2(b): 82-________.

 

  

EXPLANATORY NOTE

 

This Report of Foreign Private Issuer on Form 6-K filed by MMtec, Inc. (together with our subsidiaries, unless the context indicates otherwise, “we,” “us,” “our,” or the “Company”) contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. These statements relate to future events or the Company’s future financial performance. The Company has attempted to identify forward-looking statements by terminology including “anticipates,” “believes,” “expects,” “can,” “continue,” “could,” “estimates,” “intends,” “may,” “plans,” “potential,” “predict,” “should” or “will” or the negative of these terms or other comparable terminology. These statements are only predictions, uncertainties and other factors may cause the Company’s actual results, levels of activity, performance or achievements to be materially different from any future results, levels or activity, performance or achievements expressed or implied by these forward-looking statements. The information in this Report on Form 6-K is not intended to project future performance of the Company. Although the Company believes that the expectations reflected in the forward-looking statements are reasonable, the Company does not guarantee future results, levels of activity, performance or achievements. The Company expectations are as of the date this Form 6-K is filed, and the Company does not intend to update any of the forward-looking statements after the date this Report on Form 6-K is filed to confirm these statements to actual results, unless required by law.

  

   

MMTEC, INC. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(IN U.S. DOLLARS)

(UNAUDITED)

 

		As of
		June 30, 2019				December 31, 2018
ASSETS
CURRENT ASSETS:
Cash and cash equivalents		$	4,934,595			$	93,625
Prepaid rent			-				101,298
Other receivable			17,379				-
Loan to employee			43,638				-
Security deposits - current			52,114				51,107
Prepaid expenses and other current assets			171,703				84,430
Total Current Assets			5,219,429				330,460
NON-CURRENT ASSETS:
Security deposit - noncurrent			500,000
Property and equipment, net			38,854				32,428
Operating lease right-of-use assets			151,367
Long-term Investment			44,560
Total Non-current Assets			734,781				32,428
Total Assets		$	5,954,210			$	362,888
LIABILITIES AND SHAREHOLDERS' (DEFICIT) EQUITY
CURRENT LIABILITIES:
Deferred revenue		$	45,154			$	79,182
Salary payable			112,858				185,434
Accrued liabilities and other payables			388				283,496
Investee losses in excess of investment controlled by major shareholders			-				19,426
Due to Related Parties			72,501				239,635
Lease liabilities, current			42,722				-
Total Current Liabilities			273,623				807,173
Total Liabilities			273,623				807,173
Commitments and Contingencies
SHAREHOLDERS' (DEFICIT) EQUITY:
Common shares ($0.001 par value; 500,000,000 shares authorized; 56,070,000 shares issued and 20,700,000 shares outstanding at June 30,2019 54,000,000 shares issued and 18,000,000 outstanding at December 31, 2018)			56,070				54,000
Additional paid-in capital			11,229,339				3,759,008
Less: treasury stock, at cost; (36,000,000 shares at June 30,2019 and December 31, 2018)			(36,000	)			(36,000	)
Accumulated deficit			(5,459,010	)			(4,132,069	)
Accumulated other comprehensive loss			(109,812	)			(89,224	)
Total Shareholders' (Deficit) Equity			5,680,587				(444,285	)
Total Liabilities and Shareholders' (Deficit) Equity		$	5,954,210			$	362,888

  

  

MMTEC, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF OPERATIONS AND COMPREHENSIVE LOSS

(IN U.S. DOLLARS)

(UNAUDITED)

 

		For the Six Months Ended				For the Six Months Ended
		June 30, 2019				June 30, 2018
REVENUE		$	177,543			$	-
COST OF REVENUE			66,215				-
GROSS PROFIT			111,328				-
OPERATING EXPENSES:
Selling and marketing			157,440				-
General and administrative
Payroll and related benefits			404,405				404,644
Professional fees			472,638				470,190
Other general and administrative			385,428				189,411
Total Operating Expenses			1,419,911				1,064,245
LOSS FROM OPERATIONS			(1,380,583	)			(1,064,245	)
OTHER INCOME (EXPENSE):
Interest income			1,768				251
Interest expense			-				(12	)
Other income (expense)			(114	)			4,581
Foreign currency transaction gain			3764				23,682
Loss on equity method investment controlled by major shareholders			(23,776	)			(26,506	)
Total Other Income			(18,358	)			1,996
LOSS BEFORE INCOME TAXES			(1,326,941	)			(1,062,249	)
INCOME TAXES			-				-
NET LOSS		$	(1,326,941	)		$	(1,062,249	)
COMPREHENSIVE LOSS:
NET LOSS			(1,326,941	)			(1,062,249	)
OTHER COMPREHENSIVE LOSS
Foreign currency translation adjustments			(20,588	)			(26,200	)
COMPREHENSIVE LOSS		$	(1,347,529	)		$	(1,088,449	)
NET LOSS PER COMMON SHARE
Basic and diluted		$	(0.07	)		$	(0.02	)
WEIGHTED AVERAGE NUMBER OF COMMON SHARES OUTSTANDING:
Basic and diluted			19,955,635				54,000,000

  

  

MMTEC, INC. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(IN U.S. DOLLARS)

(UNAUDITED)

 

		For the Six Months Ended				For the Six Months Ended
		June 30, 2019				June 30, 2018
CASH FLOWS FROM OPERATING ACTIVITIES:
Net loss		$	(1,326,941	)		$	(1,062,249	)
Adjustments to reconcile net loss from operations to
Net cash used in operating activities:
Depreciation expense			10,315				13,181
Loss on equity method investment controlled by major shareholders			23,776				26,506
Noncash lease expense			150,011				—
Changes in operating assets and liabilities:
Security deposit			(1,107	)			(47	)
Prepaid expenses and other current assets			(104,903	)			(51,224	)
Advance from customer			(34,363	)			—
Salary payable			(73,471	)			(30,389	)
Accrued liabilities and other payables			(162,144	)			60,710
Lease liabilities, current			(157,631	)			—
NET CASH USED IN OPERATING ACTIVITIES			(1,676,458	)			(1,043,512	)
CASH FLOWS FROM INVESTING ACTIVITIES:
Purchase of property and equipment			(16,885	)			(12,408	)
Loan to employee			(44,243	)			—
Payment in equity method investment			(87,762	)			(12,450	)
NET CASH USED IN INVESTING ACTIVITIES			(148,890	)			(24,858	)
CASH FLOWS FROM FINANCING ACTIVITIES:
Proceeds received from issuance of common stock			6,851,401				1,661,420
Capital contribution from shareholders			—				5,448
Repayments to related parties			(168,728	)			—
NET CASH PROVIDED BY FINANCING ACTIVITIES			6,682,673				1,666,868
EFFECT OF EXCHANGE RATE ON CASH AND CASH EQUIVALENTS			(16,355	)			(24,143	)
NET INCREASE IN CASH AND CASH EQUIVALENTS			4,840,970				574,355
CASH AND CASH EQUIVALENTS - beginning of year			93,625				237,561
CASH AND CASH EQUIVALENTS - end of year		$	4,934,595			$	811,916
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION:
Cash paid for:
Interest		$	—			$	—
Income taxes		$	—			$	—
NON-CASH INVESTING AND FINANCING ACTIVITIES:
Proceeds from issuance of stocks directly deposited in escrow		$	500,000			$	—

 

 

Exhibits

  

Exhibit No.		Description
99.1		Press release.

  

 

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.

 

Date: December 20, 2019

  

	MMtec, Inc.
	By:	/s/ Zhen Fan
		Zhen Fan, Chief Executive Officer

 

 

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