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Acquisitions | 12 Months Ended
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Dec. 31, 2021
Business Combinations [Abstract] |
Acquisitions | AcquisitionsOperating results of acquisitions are included in the Company’s financial statements from the date of acquisition and were not significant for the year ended December 31, 2021. Goodwill allocated in connection with the acquisitions is primarily attributable to synergies expected to arise after the Company’s acquisition of the businesses. Fiscal year 2021 acquisitions During the year ended December 31, 2021, the Company’s Nutrition segment acquired five businesses including, a 75% majority stake in U.S.-based PetDine, Pedigree Ovens, The Pound Bakery, and NutraDine (collectively, “P4”), premier providers of private label pet treats and supplements; Deerland Probiotics & Enzymes (“Deerland”), a leader in probiotic, prebiotic, and enzyme technology; and Sojaprotein, a leading European provider of non-GMO soy ingredients, for an aggregate consideration of $1.6 billion using cash on hand. The aggregate cash consideration of these acquisitions, net of $21 million in cash acquired, was preliminarily allocated as follows. The Company expects these purchase price allocations to change once valuations and measurement period adjustments are final.
(In millions) | P4 | Deerland | Sojaprotein | Others | Total
Working capital | $ | 11 |  | $ | 28 |  | $ | 71 |  | $ | 6 |  | $ | 116 |
Property, plant, and equipment | 73 |  | 48 |  | 83 |  | 8 |  | 212 |
Goodwill | 313 |  | 353 |  | 153 |  | 41 |  | 860 |
Other intangible assets | 249 |  | 258 |  | 51 |  | 11 |  | 569 |
Other long-term assets | — |  | — |  | — |  | 2 |  | 2 |
Long-term liabilities | — |  | (43) |  | (2) |  | — |  | (45) |
Temporary equity - redeemable noncontrolling interest | (150) |  | — |  | — |  | — |  | (150) |
Aggregate cash consideration | $ | 496 |  | $ | 644 |  | $ | 356 |  | $ | 68 |  | $ | 1,564 |
The Company has the option to acquire the remaining 25% interest in P4 from December 31, 2023 to March 31, 2025, based on a fixed multiple of earnings before interest, taxes, depreciation, and amortization for the twelve months prior to the exercise of this option. The noncontrolling interest holders also have the option to put the 25% interest to the Company on the same terms. The Company records the 25% remaining interest in temporary equity - redeemable noncontrolling interest. Of the $860 million allocated to goodwill, $313 million is expected to be deductible for tax purposes. The 2021 acquisitions advance ADM’s growth strategy by expanding the Company’s capabilities in pet treat and supplements and the fast-growing global demand for plant-based proteins as well as capabilities in the high-value flavor segment and the fast growing demand for food, beverages, and supplements. The post-acquisition financial results of these acquisitions are reported in the Nutrition segment. The following table sets forth the fair values and the useful lives of the other intangible assets acquired.
| Useful Lives | P4 | Deerland | Sojaprotein | Others | Total
| (In years) | (In millions)
Intangible assets with finite lives: |  |  |  |  |  |  |  |
Trademarks/brands | 7 | to | 15 | $ | 9 |  | $ | 49 |  | $ | 6 |  | $ | 3 |  | $ | 67 |
Customer lists | 15 | to | 20 | 224 |  | 174 |  | 45 |  | 5 |  | 448 |
Recipes | 7 |  |  | 16 |  | — |  | — |  | — |  | 16 |
Other intellectual property | 7 | to | 10 | — |  | 35 |  | — |  | 3 |  | 38 |
Total other intangible assets acquired |  |  |  | $ | 249 |  | $ | 258 |  | $ | 51 |  | $ | 11 |  | $ | 569 |
Fiscal year 2020 acquisitions During the year ended December 31, 2020, the Company acquired Yerbalatina and the remaining 70% interest in Anco Animal Nutrition Competence GmbH (“Anco”) for an aggregate cash consideration of $15 million. The aggregate cash consideration of these acquisitions plus the $3 million acquisition-date value of the Company’s previously held equity interest in Anco, were allocated as follows:
| (In millions)
Working capital | $ | 16 |
Property, plant, and equipment | 1 |
Goodwill | 2 |
Long-term liabilities | (1) |
Aggregate cash consideration plus acquisition-date fair value of previously held equity interest | $ | 18 |
The Company recognized a pre-tax gain of $2 million on the Anco transaction, representing the difference between the carrying value and acquisition-date fair value of the Company’s previously held equity interest. The acquisition-date fair value was determined based on a discounted cash flow analysis using market participant assumptions (a Level 3 measurement under applicable accounting standards). Fiscal year 2019 acquisitions During the year ended December 31, 2019, the Company acquired Neovia SAS (“Neovia”), Florida Chemical Company (“FCC”), The Ziegler Group (“Ziegler”), and the remaining 50% interest in Gleadell Agriculture Ltd (“Gleadell”), for an aggregate cash consideration of $2.0 billion. The aggregate cash consideration of these acquisitions, net of $95 million in cash acquired, plus the $15 million acquisition-date value of the Company’s previously held equity interest in Gleadell, was allocated as follows:
(In millions) | Neovia | FCC | Ziegler | Gleadell | Total
Working capital | $ | 108 |  | $ | 31 |  | $ | 18 |  | $ | (6) |  | $ | 151 |
Property, plant, and equipment | 384 |  | 17 |  | 3 |  | 13 |  | 417 |
Goodwill | 773 |  | 94 |  | 23 |  | 10 |  | 900 |
Other intangible assets | 669 |  | 29 |  | 35 |  | — |  | 733 |
Other long-term assets | 83 |  | — |  | — |  | 9 |  | 92 |
Long-term liabilities | (325) |  | (1) |  | (10) |  | (11) |  | (347) |
Aggregate cash consideration, net of cash acquired, plus acquisition-date fair value of previously held equity interest | $ | 1,692 |  | $ | 170 |  | $ | 69 |  | $ | 15 |  | $ | 1,946 |
Of the $900 million allocated to goodwill, $94 million is expected to be deductible for tax purposes. The Company recognized a pre-tax gain of $4 million on the Gleadell transaction, representing the difference between the carrying value and acquisition-date fair value of the Company’s previously held equity interest. The acquisition-date fair value was determined based on a discounted cash flow analysis using market participant assumptions (a Level 3 measurement under applicable accounting standards). The following table sets forth the fair values and the useful lives of the other intangible assets acquired.
| Useful Lives | Neovia | FCC | Ziegler | Total
| (In years) | (In millions)
Intangible assets with indefinite lives: |  |  |  |  |  |  |
Trademarks/brands |  |  |  | $ | 194 |  | $ | — |  | $ | — |  | $ | 194 |
Intangible assets with finite lives: |  |  |  |  |  |  |
Trademarks/brands | 5 | to | 15 | 12 |  | — |  | 4 |  | 16 |
Customer lists | 10 | to | 20 | 304 |  | 15 |  | 5 |  | 324 |
Other intellectual property | 6 | to | 10 | 159 |  | 14 |  | 26 |  | 199 |
Total other intangible assets acquired |  |  |  | $ | 669 |  | $ | 29 |  | $ | 35 |  | $ | 733 |
The Neovia, FCC, and Ziegler acquisitions are in line with the Company’s strategy to become one of the world’s leading nutrition companies. The post-acquisition financial results of these acquisitions are reported in the Nutrition segment.

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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://fasb.org/us-gaap/role/ref/legacyRef -Publisher FASB -Name Accounting Standards Codification -Topic 805 -URI http://asc.fasb.org/topic&trid=2303972 + Details
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