Quarterly report pursuant to Section 13 or 15(d)

Acquisitions

v2.4.1.9
Acquisitions
 6 Months Ended
Mar. 28, 2015
Business Combinations [Abstract]  
Acquisitions
3.   Acquisitions

Envincio LLC

On April 1, 2014, the Company purchased certain assets of Envincio LLC, including brands, EPA registrations, inventory and trade receivables, for approximately $20.3 million. The purchase price exceeded the fair value of the net tangible and intangible assets acquired by approximately $3.3 million, which is recorded in goodwill. Financial results for Envincio have been included in the results of operations within the Pet segment since the date of acquisition. This acquisition is expected to enable the Company to be a key supplier and product innovator in the growing natural insecticides product market, often characterized as EPA-exempt products, and expand its offerings in traditional pesticides.

The following table summarizes the preliminary recording of the fair values of the assets acquired and liabilities assumed as of the acquisition date and subsequent adjustments:

 

(In thousands)

    Amounts
Previously
Recognized as of
Acquisition Date(1)		      Measurement
Period
Adjustments		      Amounts
Recognized as of
Acquisition Date
(as Adjusted)		  

Current assets, net of cash and cash equivalents acquired

    $ 6,650       $ 0       $ 6,650   

Fixed assets

      20         0         20   

Goodwill

      2,477         856         3,333   

Intangible assets

      12,306         (856 )       11,450   

Current liabilities

      (1,170 )       0         (1,170 ) 
  

 

 

     

 

 

     

 

 

  

Net assets acquired, less cash and cash equivalents

 $ 20,283    $ 0    $ 20,283   
  

 

 

     

 

 

     

 

 

  

 

(1) As previously reported in our Form 10-K for the period ended September 27, 2014.

During fiscal 2015 the fair value measurements of assets acquired and liabilities assumed of Envincio LLC as of the acquisition date were finalized. This refinement did not have a significant impact on the Company’s condensed consolidated statements of operations, balance sheets or cash flows in any period and, therefore, the Company has not retrospectively adjusted its financial statements. Financial results for Envincio LLC have been included in the results of operations within the Pet segment since the date of acquisition.

Investment in Joint Ventures

On December 30, 2014, the Company invested $16 million in cash for a 50% interest in two newly formed entities. The two entities own rights to commercialize products which incorporate features covered by certain patents, technology and associated intellectual property rights in the fields of animal health and pesticide applications. The investment is being accounted for under the equity method of accounting and is not expected to contribute to earnings in the near future.