Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Acquisition with Stock Options In December 2013, FireEye, Inc. acquired all of the outstanding shares of privately held Mandiant Corporation, a provider of computer

image text in transcribedimage text in transcribedimage text in transcribed

Acquisition with Stock Options In December 2013, FireEye, Inc. acquired all of the outstanding shares of privately held Mandiant Corporation, a provider of computer security products, for $106,538,000 in cash and 16,921,000 shares of FireEye common stock with a fair value of $704,414,000 and a par value of $0.0001/share. In addition, Mandiant's existing vested stock option and restricted stock awards were converted to awards denominated in FireEye stock, in the amount of 6,680,000 shares with a fair value of $86,703,000. These awards have the same terms as when they were issued by Mandiant. FireEye estimates that unvested equity awards relating to post combination services have a current fair value of $122,600,000. Out-of-pocket acquisition-related costs were $8,500,000. The following table summarizes the date-of-acquisition fair values of the identifiable net assets acquired. Net tangible assets Identifiable intangible assets $9,629,000 Developed technology 54,600,000 In process research and development 1,400,000 Content intangibles 128,500,000 Customer relationships 66,000,000 Contract backlog 12,600,000 Trade names 12,400,000 Deferred tax liability (90,105,000) Identifiable net assets acquired $195,024,000

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Ethical Obligations and Decision Making in Accounting Text and Cases

Authors: Steven Mintz, Roselyn Morris

4th edition

978-1259543470, 1259543471, 978-1259730191

More Books

Students also viewed these Accounting questions

Question

In Problems 1130, solve each equation by factoring. x 2 - 9x = 0

Answered: 1 week ago

Question

What are the Four Key Milestones in Cognitive Psychology?

Answered: 1 week ago

Question

Did the desk clerk act in a reasonable manner?

Answered: 1 week ago

Question

Why is the distinction important in this situation?

Answered: 1 week ago