Company: STGW
Filing Date: 2025-05-08
Form Type: 10-Q
Source: 0000876883-25-000017
Chunk: 68

Company: Stagwell Inc
Filing Date: 2025-05-08
Form: 10-Q
Item: Item 1
Chunk 68
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 The unaudited pro forma financial information is for informational purposes only and is not necessarily indicative of the results of operations that actually would have been achieved had the acquisition been consummated as of that time.Revenue attributable to Unicepta, included within the Unaudited Consolidated Statements of Operations for the three months ended March 31, 2025, was $12.4 million. Net loss attributable to Unicepta, included within the Unaudited Consolidated Statements of Operations for the three months ended March 31, 2025, was less than $0.1 million.  The purchase price accounting is not yet final as the Company has not yet finalized its valuation processes and therefore may still make adjustments.Acquisition of ConsulumOn October 1, 2024, the Company acquired Consulum (Cayman) Limited (“Consulum”), a government advisory firm that provides public relations management and media and marketing services, for $82.8 million, of which $58.6 million was paid in cash, $12.9 million in 1,810,274 shares of the Company’s Class A Common Stock, and $11.3 million was attributed to contingent consideration which is considered part of the purchase price. On January 29, 2025, the Company paid $0.1 million to the sellers as a post-closing adjustment. In connection with the acquisition, the sellers are entitled to contingent consideration up to a maximum value of $90.0 million, partially subject to continued employment and meeting certain future earnings targets, of which a portion may be settled in shares of Class A Common Stock at the Company’s discretion.The consideration has been allocated to the assets acquired and assumed liabilities of Consulum based upon fair values. The preliminary purchase price allocation is as follows:Amount(dollars in thousands)Cash and cash equivalents$2,151 Accounts receivable, net26,845 Other current assets3,094 Right-of-use lease assets2,173 Fixed assets2,032 Identifiable intangible assets57,200 Accounts payable(2,078)Accruals and other liabilities(9,167)Advance billings(5,425)Current portion of lease liabilities - operating leases(983)Long-term lease liabilities - operating leases(1,065)Deferred tax liabilities, net(8,618)Net assets assumed66,159 Goodwill16,687 Purchase price consideration$82,846 The excess of purchase consideration over the fair value