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Business Combinations | 12 Months Ended
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Jun. 30, 2021
Business Combinations [Abstract] |
Business Combination Disclosure | Acquisition of 99designs, Inc. On October 1, 2020, we acquired 99designs, Inc. and its subsidiaries ("99designs"), a global creative platform for graphic design. We acquired all outstanding shares of the company for a purchase price of $90,000, subject to a post-closing adjustment based on acquired cash, debt, and working capital as of the closing date. We paid $45,000 in cash at closing and will pay the remaining purchase consideration, including the post-closing adjustment, on February 15, 2022. The acquisition is managed within our Vistaprint business and provides a global platform that connects designers and clients, making it easier for small businesses to access both professional design services and marketing products in one place. We expect the synergies achieved through integration with the 99designs designer network to provide significant benefits to our Vistaprint business. The table below details the consideration transferred to acquire 99designs:
Cash consideration (paid at closing) | $ | 45,000 |
Fair value of deferred payment | 43,381 |
Final post closing adjustment | 310 |
Total purchase price | $ | 88,691 |
We recognized the assets and liabilities on the basis of their fair values at the date of the acquisition with any excess of the purchase price paid over the fair value of the net assets recorded as goodwill, which is primarily attributable to the synergies that we expect to achieve through the acquisition. The goodwill balance has been attributed to the Vistaprint reporting unit and a portion of such goodwill balance is deductible for tax purposes. Additionally, we identified and valued 99designs intangible assets which include their trade name, designer network, and developed technology. The fair value of the assets acquired and liabilities assumed was:
|  | Amount |  | Weighted Average Useful Life in Years
Tangible assets acquired and liabilities assumed: |  |  |  |
Cash and cash equivalents |  | $ | 8,603 |  |  | n/a
Accounts receivable, net |  | 494 |  |  | n/a
Prepaid expenses and other current assets |  | 787 |  |  | n/a
Property, plant and equipment, net |  | 73 |  |  | n/a
Other assets |  | 142 |  |  | n/a
Accounts payable |  | (220) |  |  | n/a
Accrued expenses |  | (6,299) |  |  | n/a
Deferred revenue |  | (5,806) |  |  | n/a
Other liabilities |  | (625) |  |  | n/a
Identifiable intangible assets: |  |  |  |
Trade name |  | 1,550 |  |  | 2 years
Developed technology |  | 13,400 |  |  | 3 years
Designer network |  | 5,800 |  |  | 7 years
Goodwill |  | 70,792 |  |  | n/a
Total purchase price |  | $ | 88,691 |  |  | n/a
99designs has been included in our consolidated financial statements starting on its acquisition date. The revenue and earnings of 99designs included in our consolidated financial statements for the year ended June 30, 2021 are not material, and therefore no proforma financial information is presented. We used our now amended senior secured credit facility to finance the acquisition. In connection with the acquisition, we incurred $1,183 in general and administrative expenses during the year ended June 30, 2021, primarily related to legal, financial, and other professional services. Other Acquisition On April 23, 2021 we completed a tuck-in acquisition of a fast growing company with an attractive product capability as part of our BuildASign business, acquiring approximately 81% of the company's shares for the total consideration of $18,535. We recognized the assets, liabilities and noncontrolling interest on the basis of their fair values at the date of the acquisition, resulting in goodwill of $14,208 which is not deductible for tax purposes. This acquisition will be presented within our All Other Businesses segment. The revenue and earnings included in our consolidated financial statements for the year ended June 30, 2021 are not material. We utilized proceeds from our now amended senior secured credit facility to finance the acquisition.

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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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