Acquisition of Versature Corp.

12 Months Ended

Jul. 31, 2019

Business Combinations [Abstract]

Acquisition of Versature Corp.

Note 6—Acquisition of Versature Corp.

On September 14, 2018, the Company acquired 100% of the outstanding shares of Versature Corp., a UCaaS provider serving the Canadian market, for cash of $5.9 million. The acquisition expanded the Company's UCaaS business into Canada. Versature's operating results from the date of acquisition, which were not significant, are included in the Company's consolidated financial statements.

The impact of the acquisition's purchase price allocations on the Company's consolidated balance sheet and the acquisition date fair value of the total consideration transferred were as follows (in thousands):

(in thousands)
Trade accounts receivable	$	370
Prepaid expenses		65
Property, plant and equipment		1,826
Non-compete agreement		600
Customer relationships		3,003
Tradename		490
Other assets		486
Trade accounts payable		(81	)
Accrued expenses		(523	)
Other liabilities		(710	)
Net assets excluding cash acquired	$	5,526
Supplemental information:
Cash paid	$	5,943
Cash acquired		(417	)
Total consideration, net of cash acquired	$	5,526

The following table presents unaudited pro forma information of the Company as if the acquisition occurred on August 1, 2016:

Year ended July 31 (in thousands)	2019		2018		2017
Revenues	$	1,410,056	$	1,553,815	$	1,506,758
Net income	$	121	$	5,148	$	9,185