BUSINESS ACQUISITION

9 Months Ended

Dec. 31, 2021

Business Combination and Asset Acquisition [Abstract]

Acquisition of Anord Mardix

On December 1, 2021, the Company completed the business acquisition of Anord Mardix, a global leader in critical power solutions for an initial purchase consideration of $522.5 million, net of $25.1 million cash acquired, with an additional $16.5 million deferred purchase price to be paid out in the fourth quarter of fiscal year 2022 together with additional working capital adjustments, for a total purchase consideration of $539 million. The acquisition adds to the Company's portfolio of Power products and expands its offering in the data center market. For reporting purposes, Anord Mardix is included in the Industrial reporting unit within the FRS segment. The allocation of the purchase price to the tangible and identifiable intangible assets acquired and liabilities assumed was based on their estimated fair values as of the date of acquisition. The excess of the purchase price over the tangible and identifiable intangible assets acquired and liabilities assumed has been allocated to goodwill. The results of operations of the acquisition were included in the Company’s condensed consolidated financial results beginning on the date of acquisition, and the total amount of net income and revenue were immaterial to the Company's condensed consolidated financial results for the three-month and nine-month periods ended December 31, 2021.

The following represents the Company's allocation of the total purchase price to the acquired assets and liabilities of Anord Mardix (in millions):


Current assets	$	134




Property and equipment	14
Operating lease right-of-use assets	34
Intangible assets	263
Goodwill	271
Total assets	$	716

Current liabilities	$	97






Operating lease liabilities, non-current	31
Deferred tax liabilities	49
Total aggregate purchase price	$	539

The intangible assets of $263.0 million is comprised of customer related intangible assets of $143.0 million and licenses and other intangible assets such as trade names and patented technology of $120.0 million. Customer related assets are amortized over a weighted-average estimated useful life of 8.5 years while licensed and other intangibles are amortized over a weighted-average estimated useful life of 8.9 years.

Pro-forma results of operations have not been presented because the effects were not material to the Company’s condensed consolidated financial results for all periods presented.

The Company is in the process of evaluating the fair value of the assets and liabilities related to this acquisition. Additional information, which existed as of the acquisition date, may become known to the Company during the remainder of the measurement period, a period not to exceed 12 months from the date of acquisition. Changes to amounts recorded as assets and liabilities may result in a corresponding adjustment to goodwill during the respective measurement periods.