Annual report pursuant to Section 13 and 15(d)

Business Combinations and Acquisitions (Tables)

v3.22.4
Business Combinations and Acquisitions (Tables)
 12 Months Ended
Dec. 31, 2022
Business Combination and Asset Acquisition [Abstract]  
Summary of Consideration Transferred by GSAH
The following table summarizes the consideration transferred by GSAH:

Cash consideration paid by GSAH $ 1,310.0 
Cash repayment of existing Mirion TopCo third-party debt 903.6 
Reimbursement of Mirion TopCo transaction costs 11.7 
Cash consideration paid by GSAH $ 2,225.3 
Shares issued to Mirion TopCo sellers at fair value (1)
407.0 
Total consideration transferred $ 2,632.3 
(1)A total of 30,401,902 shares of Class A common stock were issued to the Sellers at fair value and recognition of noncontrolling interests for 8,560,540 shares Class B common stock at the Closing.
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed
The following table summarizes the total business enterprise value, comprised of the fair value of net assets acquired for the Business Combination.
Mirion TopCo
Date of acquisition October 20, 2021
Segment Medical Industrial Corporate Total
Goodwill (1)
$ 680.4  $ 962.5  $ —  $ 1,642.9 
Amortizable intangible assets:
Customer relationships (2)
152.7  186.1  —  338.8 
Developed technology (3)
66.3  168.3  —  234.6 
Trade names (4)
36.8  63.7  —  100.5 
Distributor relationships (5)
52.5  8.6  —  61.1 
Backlog (6)
17.7  63.8  —  81.5 
Non-compete agreements (7)
4.5  —  —  4.5 
Total amortizable intangible assets $ 330.5  $ 490.5  $ —  $ 821.0 
Tangible assets:
Cash 7.8  39.5  54.6  101.9 
Accounts receivable 44.0  70.3  —  114.3 
Cost in excess of billings —  63.3  —  63.3 
Inventory 25.1  119.5  —  144.6 
Property, Plant and Equipment 52.6  72.7  1.1  126.4 
Other current and non-current assets 5.8  13.3  5.3  24.4 
Right of use assets 22.3  20.1  0.9  43.3 
Other non-current assets 8.0  2.8  —  10.8 
Current liabilities (31.8) (82.7) (33.7) (148.2)
Current lease liability (4.1) (4.4) (0.3) (8.8)
Deferred contract revenue (34.7) (24.2) —  (58.9)
Notes payable assumed (1.8) (1.2) —  (3.0)
Other long-term liabilities (70.0) (147.6) (23.8) (241.4)
Minority interest —  (0.2) (0.1) (0.3)
Net tangible assets acquired $ 23.2  $ 141.2  $ 4.0  $ 168.4 
Purchase consideration $ 2,632.3 
Less: cash acquired (101.9)
GAAP purchase consideration, net of cash acquired $ 2,530.4 
(1)The goodwill of $1,642.9 million represents the excess of the gross consideration transferred over the fair value of the underlying net tangible and identifiable intangible assets acquired and liabilities assumed. Qualitative factors that contribute to the recognition of goodwill include certain intangible assets that are not recognized as separate identifiable intangible assets apart from goodwill. Intangible assets not recognized apart from goodwill consist primarily of the strong market position and the assembled workforce of Mirion TopCo. A portion of the goodwill recognized is expected to be deductible for income tax purposes.
(2)The useful life for customer relationships ranges from 6 to 13 years.
(3)The useful life for developed technology ranges from 5 to 16 years.
(4)The useful life for trade names is 10 years.
(5)The useful life for distributor relationships ranges from 7 to 13 years.
(6)The useful life for backlog ranges from 1 to 4 years.
(7)The useful life for non-compete agreements is 1 year.
The following table summarizes the total business enterprise value, comprised of the fair value of net assets acquired for the CIRS acquisition.
(in millions)
CIRS
Date of acquisition December 1, 2021
Segment Medical
Goodwill $ 34.0 
Developed technology (1) 19.2 
Customer relationships (2) 1.6 
Trade names (3) 0.4 
Backlog (4) 0.6 
Amortizable intangible assets $ 21.8 
Cash 1.0 
Accounts receivable 1.6 
Inventory 2.0 
Property, Plant and Equipment 0.4 
Operating ROU assets 3.8 
Current lease liabilities (0.5)
Other long-term liabilities (9.0)
Net tangible assets acquired $ (1.7)
Purchase consideration 55.1 
Less: cash acquired (1.0)
GAAP purchase consideration, net of cash acquired $ 54.1 
Acquiree revenue post acquisition through the period ended December 31, 2021 $ 1.5 
Acquiree income (loss) from operations post acquisition through the period ended December 31, 2021 $ (0.1)
(1)The useful life for developed technology is 5 years.
(2)The useful life for customer relationships is 7 years.
(3)The useful life for trade names is 3 years.
(4)The useful life for backlog is 2 years.
The following summarizes the fair value of assets acquired and liabilities assumed for the Biodex and SNC acquisitions during the year ended June 30, 2021 (in millions):
Predecessor
Biodex SNC
Date of acquisition September 1, 2020 December 18, 2020
Segment Medical Medical
Goodwill $ 11.1  $ 130.2 
Customer relationships (1) 2.3  59.5 
Trade names (2) 1.4  12.0 
Non-Compete Agreements (3) 0.3  7.5 
Developed Technology (4) 2.6  46.5 
Amortizable intangible assets $ 6.6  $ 125.5 
Cash 4.1  18.8 
Accounts receivable 4.0  24.0 
Inventory 6.4  13.9 
Property, Plant and Equipment 1.0  5.9 
Other current and non-current assets 0.6  8.0 
Current liabilities (2.6) (9.3)
Deferred contract revenue (0.2) (6.5)
Other long-term liabilities —  (33.6)
Net tangible assets acquired $ 13.3  $ 21.2 
Purchase consideration (5) 31.0  276.9 
Less: cash acquired (4.1) (18.8)
Purchase consideration, net of cash acquired $ 26.9  $ 258.1 
Acquiree revenue post acquisition through the period ended June 30, 2021 $ 32.6  $ 48.9 
Acquiree income (loss) from operations post acquisition through the period ended June 30, 2021 $ 0.7  $ (5.5)
The following useful lives were used for the initial acquisition and were all reassessed in connection with the Business Combination:
(1)The useful life for customer relationships ranges from 10 to 11 years
(2)The useful life for trade names is 7 years
(3)The useful life for non-compete agreements ranges from2 to 3 years.
(4)The useful life for developed technology ranges from 7 to 10 years.
(5)Biodex purchase consideration consisted of cash. SNC purchase consideration consisted of $261.9 million cash and $15.0 million of deferred consideration paid in February 2021.
Schedule of Business Acquisition, Pro Forma Information The unaudited pro forma financial information does not reflect the expected realization of any anticipated cost savings, operating efficiencies, or other synergies that may have been associated with the acquisition.
Successor Predecessor
(amounts in millions) From
October 20, 2021
through
December 31, 2021		 From July 1, 2021 through
October 19, 2021		 Fiscal Year Ended June 30, 2021
Total revenues $ 154.1  $ 168.0  $ 611.6 
Net income (loss) $ (5.2) $ (56.3) $ (192.1)
Net income (loss) attributable to Mirion Technologies, Inc. stockholders $ (3.6) $ (54.0) $ (184.2)
The unaudited pro forma financial information does not reflect the expected realization of any anticipated cost savings, operating efficiencies, or other synergies that may have been associated with the acquisitions.
Predecessor
Years ended
June 30,
(amounts in millions) 2021 2020
Total revenues $ 670.9  $ 598.7 
Net loss (142.9) (239.2)
Net loss attributable to Mirion TopCo stockholders (127.9) (158.3)
Summary of Company's Acquisition Activity
Year Ended
December 31,
Company
 Name
 Description of the Business Description of the Acquisition
2022 Critical Infrastructure "CI"
Delivers physical and cyber security systems to critical infrastructure based on a command-and-control platform that includes video surveillance, access control, intrusion detection, credential/training management, biometrics, and video analytics.
 On August 1, 2022, the Company acquired 100% of the Critical Infrastructure ("CI") business of Collins Aerospace (renamed as Secure Integrated Solutions "SIS") via an Asset Purchase Agreement.for approximately $6.6 million.
The following briefly describes the Company’s acquisition activity subsequent to the Business Combination and prior to December 31, 2021.
Year Ended
December 31,
Company
 Name
 Description of the Business Description of the Acquisition
2021 CIRS
Computerized Imaging Reference Systems, Inc. ("CIRS") is a U.S.-based company which specializes in design, development, and commercialization of tissue equivalent medical imaging and radiation therapy phantoms.
On December 1, 2021, the Company acquired 100% of the equity interest for approximately $55.1 million of purchase consideration, subject to final closing statement balances.
2021 Safeline
Safeline Monitors Systems LLC is a U.S.-based provider of dosimetry services which will increase the U.S. footprint of Mirion’s industry-leading dosimetry product offerings.
On December 1, 2021, the Company acquired 100% of the member equity interest for approximately $1.5 million, which includes a $0.5 million contingent consideration, based on actual revenues from existing customers for 6 months subsequent to the transaction date.
2021 CHP
CHP Dosimetry is a U.S.-based provider of dosimetry services which will increase the U.S. footprint of Mirion’s industry-leading dosimetry product offerings.
On November 1, 2021, the Company acquired 100% of the assets for approximately $2.5 million, subject to final closing statement balances.
The following briefly describes the Company’s acquisition activity prior to the Business Combination for the Predecessor Periods ended October 19, 2021 and fiscal years ended June 30, 2021, and 2020.
Predecessor Periods ended October 19, 2021
Company
 Name
 Description of the Business Description of the Acquisition
2021 Dosimetry Badge
Dosimetry Badge is a U.S.-based provider of dosimetry services which will increase the U.S. footprint of Mirion’s industry-leading dosimetry product offerings.
On September 1, 2021 the Company acquired 100% of the assets for approximately $1.8 million, which includes a $0.8 million earn-out, based on revenues from existing customers for 12 months subsequent to the transaction date.
Year Ended
June 30,
Company
 Name
 Description of the Business Description of the Acquisition
2021 Sun Nuclear Sun Nuclear Corporation (“SNC” or “Sun Nuclear”) is a provider in radiation oncology quality assurance, delivering patient safety solutions for diagnostic imaging and radiation therapy centers around the world.
On December 18, 2020, the Company acquired 100% of the equity interest for approximately $258.1 million of purchase consideration, net of cash acquired.
2021 Dosimetrics Dosimetrics is a provider in the development and production of OSL personal radiation dosimeters and dosimetry solutions, including readers, erasers, software, accessories, and automation systems.
On December 1, 2020, the Company acquired 100% of the equity interest for approximately $3.0 million of purchase consideration, net of cash acquired.
2021 Biodex Biodex is a manufacturer and distributor of medical devices and related replacement parts for physical and nuclear medicine, as well as medical imaging applications located in the United States.
On September 1, 2020, the Company acquired 100% of the equity interest for approximately $26.9 million of purchase consideration, net of cash acquired.
2020 AWST AWST is a provider of calibration and measurement technologies for radiation medicine applications.
On March 31, 2020, the Company acquired 100% of the equity interest for approximately €24.5 million (or $26.9 million) of purchase consideration.
2020 Selmic Selmic is an electronic component manufacturer of sensors, modules, and devices serving in automotive, transportation, medical, security, defense, and telecom industries.
On October 31, 2019, the Company acquired 100% of the equity interest for approximately €9.1 million (or $10.2 million) of purchase consideration.
2020 Premium Analyse Premium Analyse is a provider in the radioactive gas detection market and measurement of tritium.
On July 19, 2019, the Company acquired 100% of the equity interest for approximately €7.9 million ($8.9 million) of purchase consideration.
2020 Capintec Capintec is a provider of calibration and measurement technologies for nuclear medicine applications. Capintec provides solutions for applications in nuclear medicine, nuclear cardiology, oncology, endocrinology, diagnostic radiology, and radiation therapy.
On July 9, 2019, the Company acquired 100% of the equity interest for approximately $14.5 million of purchase consideration.