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ACQUISITIONS | 12 Months Ended
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Mar. 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract] |
ACQUISITIONS | ACQUISITIONS On June 11, 2024, we completed the purchase of 100% of the issued and outstanding capital stock of The Gearbox Entertainment Company, Inc. ("Gearbox"), from Embracer Group AB, for an initial consideration of 2.8 shares of our common stock, as part of our ongoing strategy to strengthen our industry-leading creative talent and portfolio of owned intellectual property. The acquisition-date fair value of the consideration totaled $410.4, which consisted of the following:
| Fair value of purchase consideration
Common stock (2.8 shares) | 448.6 |
Deferred payment | 1.0 |
Settlement of pre-existing relationship | (14.6) |
Transaction bonus | (24.6) |
Total | $ | 410.4 |
We used the acquisition method of accounting and recognized assets and liabilities at their fair value as of the date of acquisition, with the excess recorded to goodwill. As we finalize our estimation of the fair value of the assets acquired and liabilities assumed, additional adjustments may be recorded during the measurement period (a period not to exceed 12 months from the acquisition date). The following table summarizes the preliminary acquisition date fair value of net tangible and intangible assets acquired, net of liabilities assumed from Gearbox:
| Fair Value | Weighted average useful life
Cash acquired | $ | 9.5 |  | N/A
Other tangible assets | 159.7 |  | N/A
Other liabilities assumed | (155.7) |  | N/A
Intangible assets |  |
Intellectual property | 79.0 |  | 14
Developed game technology | 72.0 |  | 2
Games in development | 36.0 |  | N/A
Game engine technology | 9.0 |  | 2
Branding and trade names | 8.0 |  | 7
Goodwill | 192.9 |  | N/A
Total | $ | 410.4 |  |
Goodwill, which is not deductible for tax purposes, is primarily attributable to the assembled workforce of the acquired business and expected synergies at the time of the acquisition. The amounts of revenue and earnings of Gearbox included in our Consolidated Statements of Operations from the acquisition date are as follows:
|  |  |  | Fiscal year ended March 31, 2025
Net revenue |  |  |  | $ | 23.8 |
Net loss |  |  |  | (98.4) |
Supplemental pro-forma financial information has not been provided as the historical results of Gearbox were not material to us. Transaction costs of $30.4 for the fiscal year ended March 31, 2025 have been recorded within General and administrative expense in our Consolidated Statements of Operation.

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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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