v3.26.3
Note 17 - Acquisition
 9 Months Ended
Sep. 30, 2026
Notes to Financial Statements  
Business Combination [Text Block]

17.

Acquisition

 

On  November 3, 2025, the Company acquired substantially all of the assets of Venco Venturo Industries LLC and Venturo Truck Equipment Center LLC (together, "Venco Venturo"), a manufacturer of cranes, hoists and crane service bodies, for the purpose of expanding the Company's product line in its Work Truck Attachments segment.  Total consideration paid was $27,254, including an initial working capital adjustment of $327, which was financed with cash on hand and revolver borrowings under the Company’s credit facility. The working capital adjustment was further adjusted to increase the purchase price by $927, which the Company paid in the nine months ended September 30, 2026. The Company incurred approximately $105 in transaction expenses related to this acquisition in the nine months ended September 30, 2026.

 

The following table summarizes the allocation of the purchase price paid or payable, and the subsequent working capital adjustment to the fair value of the net assets acquired as of the acquisition date:

 

Accounts receivable

 

$4,337

 

Inventories

 

 

11,950

 

Prepaids and other current assets

 

 

32

 

Property and equipment

 

 

1,803

 

Goodwill

 

 

3,645

 

Intangible assets

 

 

8,900

 

Other assets - long term

 

 

1,754

 

Accounts payable and other liabilities

 

 

(5,167)

Total

 

$27,254

 

 

 

 

 

 

 

The goodwill for the acquisition is a result of acquiring and retaining the existing workforces and expected synergies from integrating the operations into the Company, all of which has been allocated to the Work Truck Attachments reportable segment. The Company expects to be able to deduct amortization of goodwill for income tax purposes over a fifteen-year period starting at the date of acquisition. The acquired intangible assets include customer relationships of $6,550 being amortized over fifteen years, noncompetition agreements of $300 being amortized over three years, backlog of $100 being amortized over one year, and tradenames of $1,950, which is indefinite-lived.

 

The acquisition was accounted for under the purchase method, and accordingly, the results of operations are included in the Company's financial statements from the date of acquisition. Pro forma information is not presented as the impact is not material.