Company: FCFS
Filing Date: 2025-11-03
Form Type: 10-Q
Source: 0000840489-25-000120
Chunk: 84

Company: FirstCash Holdings, Inc.
Filing Date: 2025-11-03
Form: 10-Q
Item: Part I, Item 8
Chunk 84
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 was allocated to assets acquired and liabilities assumed based upon the estimated fair values at the date of acquisition. The excess purchase price over the estimated fair value of the net assets acquired has been recorded as goodwill. The goodwill arising from this acquisition consists largely of the synergies and economies of scale expected from combining the operations of the Company and the pawn stores acquired.

8

The estimated fair value of the assets acquired and liabilities assumed are preliminary, as the Company is gathering information to finalize the valuation of these assets and liabilities. The preliminary allocation of the purchase price for the H&T Acquisition is as follows (in thousands):

Cash and cash equivalents$21,920 Pawn loans182,654 Accounts receivable34,129 Inventories71,616 Prepaid expenses and other current assets4,652 Property and equipment20,838 Operating lease right of use asset27,269 Goodwill (1)140,176 Intangible assets (2)56,459 Current liabilities(21,497)Customer deposits and prepayments(646)Lease liability, current(8,393)Other long-term debt(108,033)Deferred tax liabilities(9,882)Lease liability, non-current(18,876)Purchase price$392,386 (1)Substantially all of the goodwill is expected to be non-deductible for U.K. income tax purposes. This goodwill has been assigned to the U.K. pawn reporting unit.(2)Intangible assets acquired and the respective useful lives assigned consist of the following (in thousands, except useful life): AmountUseful Life (in years)Trade name$22,122 IndefiniteDeveloped technology18,051 TwoCustomer relationships16,286 Five$56,459 

The customer relationships are being amortized using an accelerated amortization method that reflects the future cash flows expected from the returning pawn customers of H&T. The developed technology is being amortized over a straight-line basis over the anticipated useful life of the developed technology. As the trade name has an indefinite life, it is not amortized.

U.S. Pawn Acquisitions

During the nine months ended September 30, 2025, the Company acquired six pawn stores in the U.S. in four separate transactions. The aggregate purchase price for these acquisitions totaled $35.1 million, net of cash acquired and subject to future post-closing adjustments. The aggregate purchase price was composed of $34.1 million in cash paid during the nine months ended September