Company: RILY
Filing Date: 2025-12-15
Form Type: 10-Q
Source: 0001464790-25-000029
Chunk: 325

Company: B. Riley Financial, Inc.
Filing Date: 2025-12-15
Form: 10-Q
Item: Part I, Item 8
Chunk 325
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 in the E-Commerce segment. The assets and liabilities of Nogin, both tangible and intangible, were recorded at their estimated fair values as of the May 3, 2024 acquisition date. Acquisition related costs, such as legal, accounting, valuation and other professional fees related to the acquisition of Nogin, were charged against earnings in the amount of $2,425 and included in the “Selling, general and administrative expenses” line item in the unaudited condensed consolidated statements of operations for the year ended December 31, 2024. Nogin goodwill recognized subsequent to the acquisition will be non-deductible for tax purposes.The fair value of acquisition consideration and purchase price allocation were as follows:Consideration paid:Cash$18,670 Credit bid - Settlement of DIP Facility37,700 Total Consideration$56,370 Assets acquired and liabilities assumed:Cash and cash equivalents$604 Accounts receivable421 Prepaid and other assets6,826 Operating lease right-of-use assets740 Property and equipment400 Other intangible assets17,350 Deferred income taxes 227 Accounts payable(9,731)Accrued expenses and other liabilities(10,309)Deferred revenue(95)Operating lease liabilities(740)Note payable(700)Net assets acquired and liabilities assumed4,993 Goodwill56,028 Noncontrolling interest(4,651)Total$56,370 During the year ended December 31, 2024, goodwill for Nogin increased by $1,636 related to certain purchase price accounting adjustments.The following is a summary of identifiable intangible assets acquired and the related expected lives for the finite-lived intangible assets:

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CategoryUseful lifeFair ValueCustomer relationships9 Years$10,300 Internally developed software and other intangibles8 Years3,950 Trademarks10 Years3,100 Total$17,350 The Company had entered into a Chapter 11 Restructuring Support Agreement (“RSA”) with Nogin prior to the acquisition date. As part of Nogin’s Chapter 11 restructuring activities, it ceased the sale of brand apparel merchandise and elimination of warehousing and other costs associated with the inventory, among other things. The Company has determined that the preparation of pro forma financial information would be impracticable due to the significant estimates of amounts needed to reflect Nogin’s historical financial information with its operations emerging from bankruptcy.On March 31, 2025, the