v3.26.3
Business Combinations
 3 Months Ended
Sep. 30, 2026
Business Combination [Abstract]  
Business Combination
Acquisition of Saxoprint and viaprinto
On July 2, 2026, we acquired all of the outstanding equity interests of the Saxoprint and viaprinto businesses of CEWE Stiftung & Co. KGaA (collectively, "Saxoprint") for total purchase consideration of $141,081 (€123,996 based on the exchange rate on the acquisition date). We funded the acquisition in cash using our available cash balance and our senior secured revolving credit facility.
Saxoprint, based in Dresden, Germany, serves business customers and is known for its high-quality low-cost production capabilities for flyers, booklets, brochures, catalogs and magazines. viaprinto is a reseller known for serving business customers through an intuitive user experience and value-added services. The acquisition extends our deep expertise and scale advantages in manufacturing. We expect to drive significant synergies by in-sourcing the production of certain products across other Cimpress businesses to Saxoprint's production capabilities and expanding Saxoprint's product offerings by sourcing products from our focused production hubs across Europe. These businesses operate in Europe, and will be managed within our PrintBrothers reportable segment.

We recognized the assets and liabilities on the basis of their fair values at the date of the acquisition with any excess of the purchase price paid over the fair value of the net assets recorded as goodwill, which is primarily attributable to company-specific synergies that we expect to achieve through the acquisition, as well as manufacturing process and know-how and their assembled workforce. The goodwill balance has been attributed to the PrintBrothers reportable segment and $8,861 of the goodwill balance is deductible for tax purposes.

We identified and valued Saxoprint's intangible assets, which include their trade names, customer relationships, and developed technologies. During the first quarter of fiscal year 2027, we approved a plan to market and execute a sale-leaseback of their manufacturing facility, and as a result, we classified the asset as held for sale as of the acquisition date. We measured the fair value of the asset based on the estimated sale price less selling costs using a market approach considering observable market data and other unobservable pricing indications (a Level 3 fair value measurement), which resulted in an initial fair value of $46,449. Our preliminary estimate of the fair value of specifically identifiable assets acquired and liabilities assumed as of the date of acquisition is subject to change upon finalizing our valuation analysis, including certain valuation assumptions. The final determination may result in changes in the fair value of certain assets and liabilities as compared to our preliminary estimates, which we expect to finalize during the second quarter of fiscal year 2027.

The preliminary fair value of the assets acquired and liabilities assumed as well as the residual goodwill was:
AmountWeighted Average Useful Life in Years
Tangible assets acquired and liabilities assumed:
Cash and cash equivalents$9,524 n/a
Accounts receivable, net3,973 n/a
Inventory7,339 n/a
Property, plant and equipment, net30,838 n/a
Assets held for sale46,449 n/a
Other assets2,604 n/a
Accounts payable(409)n/a
Accrued expenses(8,198)n/a
Deferred revenue(859)n/a
Deferred tax liabilities(7,986)n/a
Other liabilities(1,145)n/a
Identifiable intangible assets:
Customer relationships11,150 7 years
Trade names5,507 10 years
Developed technologies5,814 3 years
Goodwill36,480 n/a
Total purchase price$141,081 n/a

Saxoprint has been included in our consolidated financial statements starting on its acquisition date. The revenue and earnings of Saxoprint included in our consolidated financial statements for the three months ended September 30, 2026 are not material. Separate financial results and proforma financial information were not required for the acquisition. In connection with the acquisition, we incurred an immaterial amount in general and
administrative expenses, as part of our central and corporate costs during the three months ended September 30, 2026, primarily related to legal, financial, and other professional services.