Company: TENB
Filing Date: 2025-02-24
Form Type: 10-K
Source: 0001660280-25-000034
Chunk: 136

Company: Tenable Holdings, Inc.
Filing Date: 2025-02-24
Form: 10-K
Item: Item 8
Chunk 136
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. Acquisitions, Goodwill and Intangible Assets

Business CombinationsIn June 2024, we acquired Eureka Security, Inc. ("Eureka"), a provider of data security posture management ("DSPM") for cloud environments. Adding Eureka's DSPM capabilities to our solutions provides customers a view into their organization's cloud data security footprint, fight policy drift and misconfigurations that put data at risk, and enables customers to continuously improve their security posture over time. We acquired 100% of Eureka's equity through a share purchase agreement for total cash consideration of $29.2 million, net of $0.4 million cash acquired.In October 2023, we acquired Ermetic, an innovative cloud-native application protection platform company and a leading provider of cloud infrastructure entitlement management. The addition of Ermetic enhances Tenable One and Tenable Cloud Security to deliver contextual risk visibility, prioritization and remediation across infrastructure and identities both on-premises and in the cloud. We acquired 100% of Ermetic's equity through a share purchase agreement for total consideration of $243.8 million, including $243.3 million in cash, net of $6.1 million cash acquired, and $0.5 million fair value of replacement equity. Cash consideration, net of cash acquired, was allocated as follows:(in thousands)EurekaErmeticIntangible assets$6,900 $45,500 Goodwill22,753 202,019 Other liabilities, net(449)(3,692)Total purchase price allocation$29,204 $243,827 We are still finalizing the allocation of the purchase price for Eureka, which may change as additional information becomes available around income taxes. 

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Acquired intangible assets and their estimated useful lives at the date of acquisition are as follows:EurekaErmetic(dollars in thousands)CostEstimated Useful LifeCostEstimated Useful LifeAcquired technology$6,900 5 years$45,500 7 yearsAcquired intangible assets$6,900 $45,500 The results of operations of Eureka and Ermetic are included in our consolidated statements of operations from the applicable acquisition dates and were not material. Pro forma results of operations are not presented as they are not material to the consolidated statements of operations.We recognized acquisition-related expenses, primarily in general and administrative expense, of $1.9 million, $9.5 million and $2.6 million in 2024, 2023