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Acquisitions and Divestitures | 12 Months Ended
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May 31, 2025
Business Combination, Asset Acquisition, and Joint Venture Formation [Abstract] |
Acquisitions and Divestitures | NOTE F — ACQUISITIONS AND DIVESTITURES During the fiscal year ended May 31, 2025, we completed a total of six acquisitions across our four reportable segments. Most notably, on April 30, 2025, we acquired 100% of the stock of Clean Topco Limited, including its wholly owned subsidiaries comprising the Star Brands Group, which is the parent company of The Pink Stuff. The Star Brands Group will be included in our Consumer reportable segment and is a globally recognized leader in household cleaning products best known for its iconic cleaning paste, vibrant branding and signature scent. The total purchase price for this acquisition was $487.4 million. In addition to cash consideration, the seller may be eligible to receive a future contingent cash receipt of up to an additional $106.9 million upon achievement of certain financial goals. Furthermore, in the second quarter of fiscal 2025, we acquired TMP Convert SAS which is a leading manufacturer of outdoor design and landscape products and is included in our PCG reportable segment. In fiscal year 2025, we incurred $11.3 million of acquisition-related costs which are recorded in SG&A on the Consolidated Statement of Income. During the fiscal year ended May 31, 2024, we completed a total of two acquisitions which are included in our CPG reportable segment. In addition, on January 20, 2023, we completed the divestiture of our non-core furniture warranty business, Guardian, for proceeds of approximately $49.2 million, net of cash disposed. In connection with the divestiture, we recognized a gain of $24.7 million during fiscal 2023, which is included in (gain) on sales of assets and business, net in our Consolidated Statements of Income. The purchase price for each acquisition has been allocated to the estimated fair values of the assets acquired and liabilities assumed as of the date of acquisition. We have finalized the purchase price allocation for our fiscal 2024 acquisitions. At May 31, 2025, we had not finalized the purchase accounting for the Star Brands Group and these amounts represent preliminary values. The allocation of the purchase price may be modified up to one year from the closing date of the acquisition. For all other acquisitions completed during fiscal 2025, the valuations of consideration transferred, total assets acquired, and liabilities assumed are substantially complete. The areas that remain open primarily relate to working capital adjustments, the identification and valuation of intangible assets and the fair value of deferred income taxes. Acquisitions are aggregated by year of purchase in the following table:
|  | Fiscal 2025 Acquisitions |  |  | Fiscal 2024 Acquisitions |  |
(In thousands) |  | Weighted-Average Intangible Asset Amortization Life (In Years) |  | Total |  |  | Weighted-Average Intangible Asset Amortization Life (In Years) |  | Total |  |
Current assets |  |  |  | $ | 128,685 |  |  |  |  | $ | 6,010 |  |
Property, plant and equipment |  |  |  |  | 41,276 |  |  |  |  |  | 1,427 |  |
Goodwill |  | N/A |  |  | 306,025 |  |  | N/A |  |  | 11,993 |  |
Trade names - indefinite lives |  | N/A |  |  | 95,804 |  |  | N/A |  |  | - |  |
Other intangible assets |  | 18 |  |  | 213,262 |  |  | 10 |  |  | 2,562 |  |
Other long-term assets |  |  |  |  | 8,063 |  |  |  |  |  | 4 |  |
Total Assets Acquired |  |  |  | $ | 793,115 |  |  |  |  | $ | 21,996 |  |
Liabilities assumed |  |  |  |  | (153,516 | ) |  |  |  |  | (5,712 | ) |
Net Assets Acquired |  |  |  | $ | 639,599 |  | (1) |  |  | $ | 16,284 |  | (2)
(1) Figure includes cash acquired of $43.8 million. (2) Figure includes cash acquired of $0.7 million. The fiscal year 2025 acquisitions above include goodwill of $229.8 million, indefinite-lived trade names of $89.8 million, and other intangible assets of $179.6 million for the Star Brands Group of which $35.7 million is expected to be deductible for tax purposes. Our Consolidated Financial Statements reflect the results of operations of acquired businesses as of their respective dates of acquisition. Pro-forma results of operations for the years ended May 31, 2025 and 2024 were not materially different from reported results and, consequently, are not presented.

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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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