Acquisitions

3 Months Ended

Mar. 31, 2019

During the three months ended March 31, 2019, the Company acquired 100% of the shares of Granta Design Limited (Granta Design) and Helic, Inc. (Helic) for a combined purchase price of $260.8 million, paid in cash. The acquisition of Granta Design, the premier provider of materials information technology, expands ANSYS' portfolio into this important area, giving customers access to material intelligence, including data that is critical to successful simulations. The acquisition of Helic, the industry-leading provider of electromagnetic crosstalk solutions for systems on chips, combined with ANSYS' flagship electromagnetic and semiconductor solvers, will provide a comprehensive solution for on-chip, 3D integrated circuit and chip-package-system electromagnetics and noise analysis.

The assets and liabilities of Granta Design and Helic have been recorded based upon management's estimates of their fair market values as of each respective date of acquisition. The following tables summarize the fair value of consideration transferred and the fair values of identified assets acquired and liabilities assumed at each respective date of acquisition:

Fair Value of Consideration Transferred:



(in thousands)	Granta Design		Helic		Total
Cash	$	198,723	$	62,086	$	260,809

Recognized Amounts of Identifiable Assets Acquired and Liabilities Assumed:



(in thousands)
Cash	$	13,644		$	2,842		$	16,486
Accounts receivable and other tangible assets	6,926			6,008			12,934
Developed software and core technologies (12 year weighted-average life)	32,445			8,600			41,045
Customer lists (13 year weighted-average life)	20,016			11,500			31,516
Trade names (10 year weighted-average life)	4,579			890			5,469
Accounts payable and other liabilities	(6,176		)	(3,477		)	(9,653		)
Deferred revenue	(1,426		)	(923		)	(2,349		)
Net deferred tax liabilities	(9,822		)	(5,049		)	(14,871		)
Total identifiable net assets	$	60,186		$	20,391		$	80,577
Goodwill	$	138,537		$	41,695		$	180,232

The goodwill, which is not tax-deductible, is attributed to intangible assets that do not qualify for separate recognition, including the assembled workforce of the acquired business and the synergies expected to arise as a result of the acquisitions.

The fair values of the assets acquired and liabilities assumed are based on preliminary calculations. The estimates and assumptions for these items are subject to change as additional information about what was known and knowable at the acquisition date is obtained during the measurement period (up to one year from the acquisition date).

On May 2, 2018, the Company completed the acquisition of 100% of the shares of OPTIS, a premier provider of software for scientific simulation of light, human vision and physics-based visualization, for a purchase price of $291.0 million, paid in cash. The acquisition extends the Company's portfolio into the area of optical simulation to provide comprehensive sensor solutions, covering visible and infrared light, electromagnetics and acoustics for camera, radar and lidar.

The operating results of each acquisition have been included in the Company's condensed consolidated financial statements since each respective date of acquisition. The effects of the business combinations were not material to the Company's consolidated results of operations individually or in the aggregate.