Redeemable Non-Controlling Interest

9 Months Ended

Sep. 30, 2021

On November 7, 2017, the Company entered into a definitive agreement to acquire a controlling-interest in Tecnidex. The transaction was closed on December 1, 2017. At the effective date of the acquisition, the Company acquired 75% of the outstanding capital stock of Tecnidex. In connection with the acquisition of Tecnidex, the Company concurrently entered into option agreements ("Option Agreement") with the Seller related to the remaining 25% equity interest. The Option Agreement permits the residual interest to be "put" by the Seller to the Company, or to allow the Company to "call" the residual interest gradually over time as outlined in the agreement. The Seller's ownership of Tecnidex represents a non-controlling interest ("NCI") to the Company, which is classified outside of stockholders' equity as the option of the Seller is redeemable. As of September 30, 2021 the carrying amount of the NCI was $8.0 million in the unaudited condensed consolidated balance sheet. Any changes in the redemption value of the NCI are included as an adjustment to Additional paid-in capital on the balance sheet.

The following table summarizes the changes to the Company's Redeemable non-controlling interest.


(in thousands)	September 30, 2021	December 31, 2020
Beginning balance	($8,446)	($7,701)
Net loss attributable to redeemable non-controlling interest	932	394
Adjustment of NCI to redemption value	(491)	(1,139)
Ending balance	($8,005)	($8,446)