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.