Deferred Acquisition Consideration (Tables)

6 Months Ended

Jun. 30, 2024

Schedule of Changes in Contingent Deferred Acquisition Consideration

The following table presents changes in deferred acquisition consideration for the six months ended June 30, 2024 and the year ended December 31, 2023 and a reconciliation to the amounts reported on the Unaudited Consolidated Balance Sheet as of June 30, 2024 and Consolidated Balance Sheet as of December 31, 2023:


	June 30, 2024		December 31, 2023
	(dollars in thousands)
Beginning balance	$	101,058	$	161,323
Payments (1)	(45,028)		(97,447)
Adjustments to deferred acquisition consideration (2)	11,244		14,303
Additions (3)	4,220		22,172
Currency translation adjustment	(453)		680
Other	—		27
Ending balance (4)	$	71,041	$	101,058

(1) Includes deferred acquisition consideration payments settled in shares of Class A Common Stock of $18.2 million and $32.8 million, respectively, for the period ended June 30, 2024 and December 31, 2023.

(2) Adjustments to deferred acquisition consideration contains fair value changes from the Company’s initial estimates of deferred acquisition payments and accretion of expense as awards are earned over the vesting period.

(3) In 2021, the Company entered into an agreement to purchase the remaining 26.7% interest in Targeted Victory it did not previously own. The agreement provided for the purchase of 50% of the interest on October 1, 2021 (paid in October 2023) and 50% on July 31, 2023 (payable in October 2025 with a seller’s right to modify the performance period and defer payment until October 2027). In connection with the purchase, the estimated amount payable in October 2025, was reclassified from redeemable noncontrolling interest to deferred acquisition consideration in 2023.

(4) The contingent and fixed deferred acquisition consideration obligation was $69.5 million and $1.5 million, respectively, as of June 30, 2024 and $57.5 million and $43.6 million, respectively, as of December 31, 2023. The deferred acquisition consideration as of June 30, 2024 and December 31, 2023, includes $16.4 million and $29.3 million, respectively, expected to be settled in shares of Class A Common Stock.