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Acquisitions | 3 Months Ended
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Mar. 28, 2020
Business Combinations [Abstract] |
Acquisitions | Acquisitions Dynamic Systems Inc. On November 1, 2019, VPG completed the acquisition of New York-based Dynamic Systems Inc. ("DSI"), a provider of specialized dynamic thermal-mechanical test and simulation systems used to develop new metal alloys and optimize production processes, for a purchase price of $40.5 million, subject to customary adjustments, plus a potential earn out of up to an additional $3.0 million. DSI reports into the Company's Weighing and Control Systems segment. The following table summarizes the preliminary fair values assigned to the assets and liabilities of DSI as of November 1, 2019 (in thousands):
Working capital (a) | $ | 6,874 |
Property and equipment | 1,727 |
Long-term deferred income tax liability | (4,321 | )
Non-controlling interest | (299 | )
Intangible assets: |
Patents and acquired technology | 10,250 |
Customer relationships | 4,344 |
Trade names | 3,300 |
Total intangible assets | 17,894 |
Fair value of acquired identifiable assets | 21,875 |
Purchase price | $ | 40,481 |
Goodwill | $ | 18,606 |
(a) Working capital accounts include accounts receivable, inventory, prepaid expenses, accounts payable, accrued expenses, and accrued payroll. The fair value of the contingent consideration as of November 1, 2019 and March 28, 2020 was zero. The weighted average useful lives for the patents and acquired technology and customer relationships are 16 years, and 15 years, respectively. Most of the goodwill associated with DSI will be deductible for income tax purposes. The Company recorded acquisition costs associated with this transaction of $0.4 million during the fourth quarter of 2019. Following is the supplemental consolidated financial results for the Company on an unaudited pro forma basis, as if the DSI acquisition had been consummated on January 1, 2019:
| Fiscal quarter ended
| March 30, 2019
Pro forma net revenues | $ | 83,622 |
Pro forma net earnings attributable to VPG stockholders | $ | 11,831 |
Pro forma basic earnings per share attributable to VPG stockholders | $ | 0.88 |
Pro forma diluted earnings per share attributable to VPG stockholders | $ | 0.87 |

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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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