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Acquisitions | 6 Months Ended
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Jun. 30, 2019
Acquisition Disclosure [Abstract] |
Acquisitions Disclosure [Text Block] | 4. Acquisition On January 31, 2018, the Company acquired all of the issued and outstanding shares of Data Sciences International, Inc. (DSI), a Delaware corporation, for approximately $7 1.1 million. The Company funded the acquisition from its existing cash balances, excess proceeds from the Denville Transaction discussed in Note 5, and proceeds from the Financing Agreement discussed in Note 14. DSI, a St. Paul, Minnesota-based life science research company, is a recognized leader in physiologic monitoring focused on delivering preclinical products, systems, services and solutions to its customers. Its customers include pharmaceutical and biotechnology companies, as well as contract research organizations, academic labs and government researchers. This acquisition diversifies the Company’s customer base into the biopharmaceutical and contract research organization markets. The aggregate purchase price for this acquisition was allocated to ta ngible and intangible net assets acquired as follows:
|  |  | (in thousands) |
| Tangible assets | $ | 34,010 |
| Liabilities assumed |  | (11,949) |
| Net assets |  | 22,061 |
| Goodwill and intangible assets: |  |  |
| Goodwill |  | 21,865 |
| Amortizable intangible assets: |  |  |
| Trade name |  | 3,524 |
| Developed technology |  | 25,570 |
| Customer relationships |  | 9,837 |
| In-process research and development |  | 1,387 |
| Total amortizable intangible assets |  | 40,318 |
| Deferred tax liabilities, net |  | (13,120) |
| Total goodwill and intangible assets, net of tax |  | 49,063 |
| Acquisition purchase price | $ | 71,124 |
| Tangible assets and liabilities assumed, as referenced above, consisted of the following:
| Cash acquired | $ | 2,576 |
| Accounts receivable, net |  | 5,069 |
| Inventories |  | 11,512 |
| Other current assets |  | 810 |
| Property, plant and equipment, net |  | 3,574 |
| Deferred income tax assets, net |  | 10,469 |
| Tangible assets | $ | 34,010 |
| Accounts payable and accrued liabilities | $ | 6,001 |
| Deferred revenue including customer advances |  | 2,976 |
| Other long term liabilities |  | 2,972 |
| Liabilities assumed | $ | 11,949 |
The Company finalized the purchase price allocation for DSI as of December 31, 2018. T he weighted-average amortization periods for definite-lived intangible assets acquired was 9.4 years for tradenames, 8.2 years for developed technology, 12.4 years for customer relationships and 7.4 years for in-process research and development assets. The weighted average amortization period for all definite-lived inta ngible assets acquired was 9.3 years. Goodwill recorded as a result of the acquisition of DSI is not deductible for tax purposes. The results of operations for DSI have been included in the Company’s consolidated financial statements from t he date of acquisition. T he revenues of DSI included in the Company’s consolidated statement of operations from the date of acquisition to June 30, 2018 were approximately $18.2 million. The net loss of DSI included in the Company’s consolidated statement of operations for the same period was approximately $1.7 million. Included in the net loss for the six months ended June 30, 2018 was a $3.7 million charge recognized in cost of revenues related to purchase accounting inventory fair value step up amortization. The total inventory fair value step up was valued at $3.8 million and was recognized into cost of revenues over one inventory turn, or approxi mately five and a half months. Also included in the net loss of DSI for that period was $1.8 mil lion of intangible asset amortization expense. The following consolidated pro forma information is based on the assumption that was used at the time of the acquisition of DSI. Accordingly, the historical results have been adjuste d to reflect amortization expense, interest expense and other purchase accounting adjustments that would have been recognized on such a pro forma basis. The pro forma information is presented for comparative purposes only and is not necessarily indicative of the financ ial position or results of operations which would have been reported had the Company completed the acquisition during these periods or which might be reported in the future.
|  | Six Months Ended
|  | June 30,
|  | 2018
|  | (in thousands)
| Pro Forma |  |
| Revenues | $ | 61,671
| Income (loss) from continuing operations |  | (392)
Direct acquisition costs recorded in other expense, net in the Company’s consolidated statements of operations were $2.6 million f or the six months ended June 30, 2018.

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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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