Earnout Liability

12 Months Ended

Dec. 31, 2019

Earnout Liability [Abstract]

Earnout Liability

16. Earnout Liability

An earnout payment of up to 2,500,000 shares of the Company's common stock, subject to certain customary anti-dilution adjustments (the "Earnout Consideration"), was payable pursuant to the Sale Agreement to the previous owners of Inspired based on the financial performance of the Company's businesses in six specific countries, China, Colombia, Greece, Norway, Spain and Ukraine (collectively, the "Earnout Jurisdictions"), as measured by earnings before interest, taxes, depreciation and amortization ("EBITDA") for the twelve months ended September 30, 2018 (the "Earnout Period"), with the maximum earnout payment of 2,500,000 shares issuable if such EBITDA results with respect to the Earnout Jurisdictions was equal to or greater than £15,000. Based on the EBITDA results for such fiscal year with respect to the Earnout Jurisdictions, the Company issued 1,323,558 shares of common stock as Earnout Consideration in March 2019, resulting in an aggregate amount of $8.6 million recorded upon the settlement of the earnout liability, with a corresponding credit to stockholders' deficit.

The following table provides a reconciliation of the beginning and ending balances for the earnout liability measured using significant unobservable inputs (Level 3):

	(in millions)
Balance – October 1, 2017	$	16.7
Change in fair value of earnout liability		(8.7	)
Balance – September 30, 2018	$	8.0
Balance – January 1, 2019	$	6.3
Change in fair value of earnout liability		2.3
Settlement of earnout liability		(8.6	)
Balance – December 31, 2019	$	—

All movements in the balance of the earnout liability were due to movements in the price of the Company's common stock.