Business Combinations

6 Months Ended

Apr. 30, 2016

Business Combinations [Abstract]

Business Combinations

Business Combinations

During the six months ended April 30, 2016, the Company completed several acquisitions. The aggregate total purchase consideration was $40.4 million, net of cash acquired. The Company does not consider these acquisitions to be material, individually or in the aggregate, to the Company’s consolidated balance sheet and results of operations. The preliminary purchase price allocations resulted in $27.2 million of goodwill, of which $6.1 million is deductible for tax purposes, and $16.9 million of acquired identifiable intangible assets valued using an income method. The intangible assets are being amortized over their respective useful lives ranging from one to seven years. The acquisition-related costs for these acquisitions totaling $2.0 million were expensed as incurred in the condensed unaudited consolidated statement of operations. The Company funded the acquisitions with existing cash.

The preliminary fair value estimates for the assets acquired and liabilities assumed for all fiscal 2016 acquisitions are not yet finalized and may change as additional information becomes available during the respective measurement periods. The primary areas of those preliminary estimates relate to certain tangible assets and liabilities, identifiable intangible assets, and taxes. Additional information, which existed as of the acquisition date but is not yet known to the Company, may become known to the Company during the remainder of the measurement period, a period not to exceed 12 months from the acquisition date. Changes to the provisional amounts recorded as assets or liabilities during the measurement period may result in an adjustment to goodwill.