Note 28 Mergers and acquisitions
No share purchase acquisitions have been made in 2017. Several asset deals have been done during the year, acquiring customer relationships in Poland, Canada and the Netherlands (Mediq Tefa). These acquisitions are reported as investments in intangible assets and are included in Note 17.
2016 Mergers and acquisitions
On July 20, 100% of the share capital of Starid Holding 1 AB was acquired for SEK 5,851 Mil. The excess value of SEK 7,584.1 Mil arising from the acquisition has been identified as attributable to customer relationships, brand, technology and goodwill. The transferred remuneration also includes amounts attributable to the benefits that Atos is the market leader in laryngectomy, has a business model that provides expected revenue increases, development of future markets and the total staffing of the company, which is reported as goodwill. These benefits have not been reported separately from goodwill because they do not meet the criteria for recognition of intangible assets.
Reported amounts at the time of acquisition for net assets acquired
Amount in SEK Mil | ||
Belopp i Mkr | ||
Fixed assets | Anläggningstillgångar | |
Customer relationships | Kundrelationer | 1,580 |
Trademarks | Varumärke | 1,362 |
Capitalized developmental expenses and patents | Aktiverade utvecklingsutgifter och patent | 756 |
Property, plant, and equipment | Materiella anläggningstillgångar | 41 |
Current assets | Omsättningstillgångar | |
Inventory | Varulager | 66 |
Accounts receivable | Kundfordringar | 200 |
Other short-term receivables | Övriga kortfristiga fordringar | 63 |
Cash and cash equivalents | Likvida medel | 59 |
Long-term debt | Långfristiga skulder | |
Interest-bearing long-term debt | Räntebärande långfristiga skulder | -1,912 |
Deferred tax liabilities | Uppskjuten skatteskuld | -1,026 |
Current liabilities | Kortfristiga skulder | |
Accounts payable | Leverantörsskulder | −32 |
Other current liabilities | Övriga kortfristiga skulder | −202 |
Net identifiable assets and liabilities | Identifierbara tillgångar och skulder, netto | 955 |
Transferred compensation | Överförd ersättning | 5,851 |
Goodwill | Goodwill | 4,896 |
The transaction costs for the acquisition were SEK 91 Mil and are included in the group’s SG&A costs in the profit and loss statement.
Mergers and acquisitions after the balance sheet date
On January 11 2018, Heimomed Heinze GmbH & Co. KG – a medical technology company operating in Germany and Austria – was acquired to strengthen the group’s presence in these markets. In conjunction with the acquisition, Atos’ customers will also gain access to Heimomed’s high-quality tracheostomy products.
Reported amounts at the time of the acquisition for the net assets acquired (preliminary amounts)
Amount in SEK Mil | ||
Belopp i Mkr | ||
Fixed assets | Anläggningstillgångar | |
Customer relationships | Kundrelationer | 95 |
Other intangible assets | Övriga immateriella tillgångar | 1 |
Property, plant, and equipment | Materiella anläggningstillgångar | 43 |
Current assets | Omsättningstillgångar | |
Inventory | Varulager | 16 |
Accounts receivable | Kundfordringar | 17 |
Other short-term receivables | Övriga kortfristiga fordringar | 5 |
Cash and cash equivalents | Likvida medel | 19 |
Long-term debt | Långfristiga skulder | |
Other long-term debt | Övriga långfristiga skulder | -17 |
Deferred tax liabilities | Uppskjuten skatteskuld | -29 |
Current liabilities | Kortfristiga skulder | |
Accounts payable | Leverantörsskulder | −2 |
Other current liabilities | Övriga kortfristiga skulder | -23 |
Net identifiable assets and liabilities | Identifierbara tillgångar och skulder, netto | 125 |
Transferred compensation (preliminary) | Överförd ersättning (preliminär) | 283 |
Goodwill | Goodwill | 158 |
The purchase price is not yet fully determined but will be finally determined in spring 2018 based on final annual reports for 2017 for the Heimomed group. Therefore the values in the table are preliminary.
By the end of March 2018, the transaction costs for the acquisition were SEK 6.3 Mil and will be included in the group’s SG&A costs in the profit and loss statement.