Company: GROVW
Filing Date: 2025-05-14
Form Type: 10-Q
Source: 0001628280-25-025541
Chunk: 143

Company: Grove Collaborative Holdings, Inc.
Filing Date: 2025-05-14
Form: 10-Q
Item: Part I, Item 1
Chunk 143
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 update requires entities to disaggregate operating expenses into specific categories, such as salaries and wages, depreciation, and amortization, to provide enhanced transparency into the nature and function of expenses. ASU 2024-03 is effective for fiscal years beginning after December 15, 2026, with early adoption permitted. ASU 2024-03 may be applied retrospectively or prospectively. The Company is currently evaluating the impact of this standard on its financial statement presentation and disclosures.

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Table of ContentsGrove Collaborative Holdings, Inc.Notes to Condensed Consolidated Financial Statements (continued)(Unaudited)

3.    Acquisitions

Grab Green acquisitionOn February 10, 2025, the Company acquired substantially all the assets and certain liabilities of MaddieBrit Products, LLC (“Grab Green”), a company engaged in providing eco-friendly cleaning products. The transaction has been accounted for as a business combination. Consideration paid by the Company was solely of cash.The following table summarizes the allocation of the consideration to the fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands):AmountCash paid$2,212 Accounts receivable785 Inventory1,279 Customer relationships441 Trademarks304 Accounts payable(597)Total net assets acquired2,212 8Greens acquisitionOn March 10, 2025, the Company acquired substantially all assets and certain liabilities of Tasty Greens, LLC (“8Greens”), a company engaged in providing healthy, nutrient-rich effervescent tablets and gummies. The transaction has been accounted for as a business combination. Consideration paid by the Company was solely of cash.The following table summarizes the allocation of the consideration to the fair values of the assets acquired and liabilities assumed at the acquisition date (in thousands):AmountCash paid$636 Accounts receivable608 Inventory742 Trademarks537 Customer relationships696 Contingent liabilities(133)Accounts payable(1,814)Total net assets acquired$636 Acquisition-related transaction costs for the acquisition of Grab Green and 8Greens, consisting primarily of third-party professional fees, were $0.6 million in the aggregate and were expensed as incurred within selling, general and administrative expenses in the Company’s condensed consolidated statements of operations.Intangible assets acquired will be amortized over periods ranging between 1 and 5 years. Accounts receivable acquired in each transaction consists of amounts due to Grab Green or 8 Greens from their customers. Accounts payable acquired relates to amounts due to vendors for