ACQUISITION (Tables)

9 Months Ended

Sep. 30, 2023

Business Combination and Asset Acquisition [Abstract]

Total purchase consideration was $4.3 billion, which consisted of the following (in thousands):


Cash paid to EVO shareholders (1)	$	3,273,951
Cash paid for equity awards attributable to purchase consideration (2)	58,510
Value of replacement awards attributable to purchase consideration (3)	2,484
Total purchase consideration transferred to EVO shareholders	3,334,945
Repayment of EVO's unsecured revolving credit facility (including accrued interest and fees)	665,557
Payment of certain acquiree transaction costs and other liabilities on behalf of EVO (4)	269,118
Total purchase consideration	$	4,269,620

(1) Holders of EVO common stock, convertible preferred stock and common units received $34 for each share of EVO common stock held at the effective time of the transaction.

(2) Pursuant to the merger agreement, we cash settled vested options and certain unvested equity awards of EVO equity award holders.

(3) Pursuant to the merger agreement, we granted equity awards for approximately 0.3 million shares of Global Payments common stock to certain EVO equity award holders. Each such replacement award is subject to the same terms and conditions (including vesting and exercisability) that applied to the corresponding EVO equity award. We apportioned the fair value of the replacement awards between purchase consideration (the portion attributable to pre-acquisition services in relation to the total vesting term of the award) and amounts to be recognized in periods following the acquisition as share-based compensation expense over the requisite service period of the replacement awards.

(4) Certain acquiree transaction costs and liabilities, including amounts outstanding under EVO’s tax receivable agreement, were required to be repaid by us upon consummation of the acquisition.

Schedule of Major Classes of Assets Acquired and Liabilities Assumed

The provisional estimated acquisition-date fair values of major classes of assets acquired and liabilities assumed, including a reconciliation to the total purchase consideration, were as follows:


	Provisional Amounts at Acquisition Date		Measurement-period Adjustments		Provisional Amounts at September 30, 2023

	(in thousands)
Cash and cash equivalents	$	324,859	$	—	$	324,859
Accounts receivable	105,680		(54,210)		51,470
Settlement processing assets	125,061		18,108		143,169
Deferred income tax assets	15,464		(319)		15,145
Property and equipment	83,540		(4,807)		78,733
Identifiable intangible assets	1,208,400		291,595		1,499,995
Other assets	157,166		(5,106)		152,060
Accounts payable and accrued liabilities	(277,800)		(5,788)		(283,588)
Settlement lines of credit	(11,371)		3,784		(7,587)
Settlement processing obligations	(199,161)		35,626		(163,535)
Deferred income tax liabilities	(168,098)		(62,719)		(230,817)
Other liabilities	(58,089)		(2,943)		(61,032)
Total identifiable net assets	1,305,651		213,221		1,518,872
Redeemable noncontrolling interests	(556,070)		75,498		(480,572)
Goodwill	3,520,039		(288,719)		3,231,320
Total purchase consideration	$	4,269,620	$	—	$	4,269,620

Schedule of Fair Values of Identified Intangible Assets Acquired and Respective Weighted-Average Estimated Amortization Periods

The following table reflects the provisional estimated acquisition-date fair values of the identified intangible assets of EVO and their respective weighted-average estimated amortization periods:


	Estimated Fair Value		Weighted-Average Estimated Amortization Periods
	(in thousands)		(years)
Customer-related intangible assets	$	920,000	10
Contract-based intangible assets	487,000		12
Acquired technologies	86,995		7
Trademarks and trade names	6,000		2
Total estimated identifiable intangible assets	$	1,499,995	11