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Acquisitions | 9 Months Ended
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Sep. 30, 2024
Business Combinations [Abstract] |
Acquisitions | ACQUISITIONS We acquire stock in companies and various assets that continue to support our capital deployment and product development strategies. In the nine months 2024 and 2023 cash paid for acquisitions, net of cash acquired was $1,598 and $390. In the nine months 2024 we completed various acquisitions for total consideration that includes $1,598 in upfront payments, net of cash acquired, and $395 contingent upon the achievement of certain commercial or clinical milestones. The combined acquisition-date fair values of the contingent milestone payments totaled $204. Goodwill of $615 and $528 was recorded within our Orthopaedics and Spine and our MedSurg and Neurotechnology segments respectively. The acquired companies expand the product portfolios of our Instruments, Endoscopy, Medical and Neuro Cranial businesses within MedSurg and Neurotechnology and our Trauma and Extremities, Joint Replacement and Spine businesses within Orthopaedics and Spine. The purchase price allocation for our acquisitions are based on preliminary valuations, primarily related to developed technology and customer relationships. Goodwill attributable to the acquisitions reflects the strategic benefits of expanding our market presence, diversifying our product portfolio and advancing innovations. This goodwill is not deductible for tax purposes. In May 2023 we acquired Cerus for net cash consideration of $289 and up to $225 in future milestone payments that had a fair value of $192 at the acquisition date. Cerus designs, develops and manufactures neurovascular products used for the treatment of hemorrhagic stroke. Cerus is part of our Neurovascular business within MedSurg and Neurotechnology. Goodwill attributable to the acquisition is not deductible for tax purposes. The purchase price allocations for the acquisitions completed in the nine months 2024 and Cerus are:
Purchase Price Allocation of Acquired Net Assets
| 2024 |  | 2023 |
| Total |  | Cerus |
Tangible assets acquired: |  |  |  |
Accounts receivable | $ | 36 |  |  | $ | 1 |  |
Inventory | 104 |  |  | 2 |  |
Deferred income tax assets | 31 |  |  | 4 |  |
Other assets | 27 |  |  | 1 |  |
Debt | (31) |  |  | — |  |
Deferred income tax liabilities | (200) |  |  | (60) |  |
Other liabilities | (94) |  |  | (22) |  |
Intangible assets: |  |  |  |
Developed technology | 576 |  |  | 240 |  |
Customer relationships | 202 |  |  | — |  |
Patents | 6 |  |  | — |  |
Trademarks | 2 |  |  | — |  |
Goodwill | 1,143 |  |  | 315 |  |
Purchase price, net of cash acquired of $53 and $7 | $ | 1,802 |  |  | $ | 481 |  |
Weighted average amortization period at acquisition (years): |  |  |  |
Developed technologies | 12 |  | 13 |
Customer relationships | 14 |  | — |  |
Patents | 12 |  | — |  |
Trademarks | 5 |  | — |  |
The purchase price allocation for Cerus was finalized in the second quarter 2024 with no material adjustments.
Consolidated Estimated Amortization Expense
Remainder of 2024 | 2025 | 2026 | 2027 | 2028
$ | 169 |  | $ | 648 |  | $ | 592 |  | $ | 570 |  | $ | 520 |

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- Definition The entire disclosure for a business combination (or series of individually immaterial business combinations) completed during the period, including background, timing, and recognized assets and liabilities. The disclosure may include leverage buyout transactions (as applicable). + References Reference 1: http://www.xbrl.org/2003/role/disclosureRef -Topic 805 -SubTopic 20 -Name Accounting Standards Codification -Section 50 -Paragraph 5 -Subparagraph (b) -Publisher FASB -URI https://asc.fasb.org/1943274/2147479907/805-20-50-5 Reference 2: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 805 -Name Accounting Standards Codification -Publisher FASB -URI https://asc.fasb.org/805/tableOfContent + Details
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