Company: UFPT
Filing Date: 2025-05-12
Form Type: 10-Q
Source: 0001171843-25-003049
Chunk: 79

Company: UFP TECHNOLOGIES INC
Filing Date: 2025-05-12
Form: 10-Q
Item: Part I, Item 1
Chunk 79
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 the opening balance sheet. The purchase price was subject to an adjustment based upon Welch’s working capital at closing, the assumption by the sellers of certain liabilities and a final working capital adjustment which together resulted in a decrease in the purchase price of approximately $200 thousand. A portion of the purchase price is being held by the Company to indemnify the Company against certain claims, losses, and liabilities. The Purchase Agreement contains customary representations, warranties, and covenants customary for transactions of this type.

Founded in 1985 and headquartered in Dover, NH, Welch develops and manufactures thermoformed, and heat sealed implantable medical device components utilizing thin, high-performance films. Welch brings thin film thermoforming capabilities and expertise in developing and manufacturing components for implantable medical devices.

Also on July 15, 2024, pursuant to separate purchase and sale agreements (with separate legal parties), the Company purchased certain real estate in Dover, NH, which encompasses a majority of Welch’s manufacturing, warehousing and office facilities for an aggregate purchase of approximately $3.2 million.

9

The following table summarizes the allocation of the total purchase price of approximately $35.2 million, net of cash acquired, to the acquisition date fair value of the assets acquired and liabilities assumed based on management’s preliminary estimates of fair value (in thousands):

			Purchase Price Allocation

			Cash

			$
			3,817

			Accounts receivable

			1,506

			Inventory

			1,969

			Other current assets

			115

			Property, plant, and equipment

			824

			Customer lists

			4,209

			Intellectual property

			9,707

			Non-compete agreement

			186

			Lease right of use assets

			166

			Goodwill

			17,135

			Total assets acquired

			39,634

			Accounts payable

			(215
			)

			Accrued expenses

			(215
			)

			Lease liabilities

			(166
			)

			Total liabilities assumed

			(596
			)

			Total assets acquired, net of liabilities assumed

			39,038

			Less: cash acquired

			(3,817
			)

			Net assets acquired, net of cash acquired

			$
			35,221

Acquisition costs associated