XML 45 R31.htm IDEA: XBRL DOCUMENT
v3.23.3

ACQUISITION (Tables) | 12 Months Ended
--- | ---
Aug. 31, 2023
Business Combination and Asset Acquisition [Abstract] |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table summarizes the allocation of the preliminary purchase price for Immunetrics:
(in thousands) |  |
Base merger consideration |  | $ | 12,000 |
Fair value of earnout |  | 4,100 |
Cash on hand |  | 1,247 |
Adjustment to purchase price for closing indebtedness |  | (122) |
Net working capital adjustment |  | (377) |
D&O Tail |  | (7) |
Bonus compensation to Immunetrics staff |  | (1,586) |
Total purchase price |  | 15,255 |
Fair value of identifiable assets acquired: |  |
Cash |  | 1,132 |
Accounts receivable |  | 511 |
Security deposit |  | 12 |
ROU asset |  | 227 |
Deferred tax assets |  | 799 |
Trade names |  | 1,800 |
Customer relationships |  | 3,780 |
Developed Tech |  | 1,080 |
Non-competes |  | 30 |
|  | 9,371 |
Fair value of liabilities assumed: |  |
Lease liability |  | 227 |
Selling shareholders' D&O tail responsibility |  | 7 |
Deferred revenue |  | 60 |
|  | 294 |
Fair value of identifiable assets acquired and liabilities assumed |  | 9,077 |
Goodwill |  | $ | 6,178 |
Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Business Combination | The following table summarizes intellectual property as of August 31, 2023:
(in thousands) |  | Amortization Period |  | Acquisition Value |  | Accumulated Amortization |  | Net Book Value
Termination/nonassertion agreement-TSRL Inc. |  | Straight line 10 years |  | $ | 6,000 |  |  | $ | 5,575 |  |  | $ | 425 |
Developed technologies–DILIsym acquisition |  | Straight line 9 years |  | 2,850 |  |  | 1,978 |  |  | 872 |
Intellectual rights of Entelos Holding Company |  | Straight line 10 years |  | 50 |  |  | 25 |  |  | 25 |
Developed technologies–Immunetrics acquisition |  | Straight line 5 years |  | 1,080 |  |  | 45 |  |  | 1,035 |
Developed technologies–Lixoft acquisition |  | Straight line 16 years |  | 8,010 |  |  | 1,678 |  |  | 6,332 |
|  |  |  | $ | 17,990 |  |  | $ | 9,301 |  |  | $ | 8,689 |
The following table summarizes intellectual property as of August 31, 2022:
(in thousands) |  | Amortization Period |  | Acquisition Value |  | Accumulated Amortization |  | Net Book Value
Royalty Agreement buy out-Enslein Research |  | Straight line 10 years |  | $ | 75 |  |  | $ | 75 |  |  | $ | — |
Termination/nonassertion agreement-TSRL Inc. |  | Straight line 10 years |  | 6,000 |  |  | 4,975 |  |  | 1,025 |
Developed technologies–DILIsym acquisition |  | Straight line 9 years |  | 2,850 |  |  | 1,662 |  |  | 1,188 |
Intellectual rights of Entelos Holding Company |  | Straight line 10 years |  | 50 |  |  | 20 |  |  | 30 |
Developed technologies–Lixoft acquisition |  | Straight line 16 years |  | 8,010 |  |  | 1,196 |  |  | 6,814 |
|  |  |  | $ | 16,985 |  |  | $ | 7,928 |  |  | $ | 9,057 |
The following table presents the details of intangible assets acquired.
|  | Estimated useful life |  | Amount
Indefinite-lived: |  |  |  |
Trade names |  | Indefinite |  | $ | 1,800 |
Definite-lived: |  |  |  |
Customer relationships |  | 9 years |  | 3,780 |
Developed technologies |  | 5 years |  | 1,080 |
Covenants not to compete |  | 2 years |  | 30 |
Total definite-lived intangible assets |  |  |  | 4,890 |
Total intangible assets |  |  |  | $ | 6,690 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | Estimated future amortization of finite-lived intangible assets for the next five years is as follows:
(in thousands) |  |
Years ending August 31, |  | Amount
2024 |  | $ | 580 |
2025 |  | $ | 580 |
2026 |  | $ | 580 |
2027 |  | $ | 580 |
2028 |  | $ | 535 |
Business Acquisition, Pro Forma Information |
|  | (Pro forma) 2023 * |  | (Pro forma) 2022
(in thousands) |  | (unaudited) |  | (unaudited)
Revenue |  | $ | 63,054 |  |  | $ | 57,010 |
Net income |  | $ | 11,422 |  |  | $ | 11,889 |
* Balances include actual results from acquisition date of June 16, 2023 through August 31, 2023.

X
- Definition Tabular disclosure of pro forma results of operations for a material business acquisition or series of individually immaterial business acquisitions that are material in the aggregate. + References Reference 1: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (h)(2) -SubTopic 10 -Topic 805 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479328/805-10-50-2 Reference 2: http://www.xbrl.org/2009/role/commonPracticeRef -Name Accounting Standards Codification -Section 50 -Paragraph 2 -Subparagraph (h)(3) -SubTopic 10 -Topic 805 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479328/805-10-50-2 + Details
Name: | us-gaap_BusinessAcquisitionProFormaInformationTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- References No definition available. + Details
Name: | us-gaap_BusinessCombinationAndAssetAcquisitionAbstract
Namespace Prefix: | us-gaap_
Data Type: | xbrli:stringItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of finite-lived and indefinite-lived intangible assets acquired as part of a business combination. + References No definition available. + Details
Name: | us-gaap_FiniteLivedAndIndefiniteLivedIntangibleAssetsAcquiredAsPartOfBusinessCombinationTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the amounts recognized as of the acquisition date for each major class of assets acquired and liabilities assumed. May include but not limited to the following: (a) acquired receivables; (b) contingencies recognized at the acquisition date; and (c) the fair value of noncontrolling interests in the acquiree. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Topic 805 -SubTopic 20 -Name Accounting Standards Codification -Paragraph 1 -Section 50 -Publisher FASB -URI https://asc.fasb.org//1943274/2147479907/805-20-50-1 + Details
Name: | us-gaap_ScheduleOfRecognizedIdentifiedAssetsAcquiredAndLiabilitiesAssumedTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration

X
- Definition Tabular disclosure of the amount of amortization expense expected to be recorded in succeeding fiscal years for finite-lived intangible assets. + References Reference 1: http://fasb.org/us-gaap/role/ref/legacyRef -Name Accounting Standards Codification -Topic 350 -SubTopic 30 -Section 50 -Paragraph 2 -Subparagraph (a) -Publisher FASB -URI https://asc.fasb.org//1943274/2147482665/350-30-50-2 + Details
Name: | us-gaap_ScheduleofFiniteLivedIntangibleAssetsFutureAmortizationExpenseTableTextBlock
Namespace Prefix: | us-gaap_
Data Type: | dtr-types:textBlockItemType
Balance Type: | na
Period Type: | duration