Subsequent Events

3 Months Ended

Mar. 28, 2020

Subsequent Events [Abstract]

Subsequent Events

SUBSEQUENT EVENTS

Acquisition of the Oral Care Assets of High Ridge Brands

On April 1, 2020, we completed the acquisition of the oral care assets of High Ridge Brands for total agreed purchase consideration of $113.0 million, subject to customary post-closing adjustments, including a working capital settlement which may raise or lower the purchase price. The consideration includes an $11.3 million deposit we paid during the three months ended March 28, 2020, which is recorded on the Condensed Consolidated Balance Sheets within Other non-current assets. This acquisition includes the leading children’s oral care value brand, Firefly^®, in addition to the REACH^® and Dr. Fresh^® brands. The U.S. operations, which represents a significant portion of the business, will be reported in our CSCA segment and the remaining non-U.S. operations will be reported in our CSCI segment.

During the three months ended March 28, 2020, in connection with the acquisition, we incurred $1.5 million of general transaction costs (legal, banking and other professional fees). The amounts were recorded in Administration expenses within the CSCA segment.

We are in the process of gathering significant relevant information needed to complete the valuation for the assets acquired and liabilities assumed. As a result, the initial accounting for the acquisition accounting is incomplete. The provisional acquisition amounts recognized for assets acquired and liabilities assumed and the supplemental pro-forma information will be included in our quarterly Report on Form 10-Q for the second quarter of 2020.