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Acquisitions
 6 Months Ended
Jun. 30, 2016
Acquisition Disclosure [Abstract]  
Acquisitions Disclosure [Text Block]

4. Acquisitions

The Company completed one acquisition during the six months ended June 30, 2015.

HEKA Elektronik

On January 8, 2015, the Company, through its wholly-owned Ealing Scientific Limited and Multi Channel Systems MCS GmbH (“MCS”) subsidiaries, acquired all of the issued and outstanding shares of HEKA Elektronik (“HEKA”) for approximately $5.9 million, or $4.5 million, net of cash acquired. Included in the acquisition of HEKA were: HEKA Electronik Dr. Schulze GmbH, based in Lambrecht, Germany (“HEKA Germany”); HEKA Electronics Incorporated, based in Chester, Nova Scotia, Canada (“HEKA Canada”); and HEKA Instruments Incorporated, based in Bellmore, New York. The Company funded the acquisition from its existing cash balances.

HEKA is a developer, manufacturer and marketer of sophisticated electrophysiology instrumentation and software for biomedical and industrial research applications. This acquisition is complementary to the electrophysiology line currently offered by the Company’s wholly-owned Warner Instruments and MCS subsidiaries.

The aggregate purchase price for this acquisition was allocated to tangible and intangible assets acquired as follows:

(in thousands)
Tangible assets$4,165
Liabilities assumed(2,426)
Net assets1,739
Goodwill and intangible assets:
Goodwill1,668
Trade name774
Customer relationships1,627
Developed technology1,338
Non-compete agreements27
Deferred tax liabilities(1,245)
Total goodwill and intangible assets, net of tax4,189
Acquisition purchase price$5,928

Goodwill recorded as a result of the acquisition of HEKA is not deductible for tax purposes.

At June 30, 2016, an immaterial correction was made to the allocation of the aggregate purchase price to the tangible and intangible assets acquired to increase both accrued liabilities and goodwill by $50,000 as of June 30, 2016. This correction has been reflected in the table above.

The results of operations for HEKA have been included in the Company’s consolidated financial statements from the date of acquisition.

Direct acquisition costs recorded in other expense, net in the Company’s consolidated statements of operations were immaterial for both the three and six months ended June 30, 2016, respectively. Direct acquisition costs recorded in other expense, net in the Company’s consolidated statements of operations were $0.2 million and $0.8 million for the three and six months ended June 30, 2015, respectively.