Business combinations

12 Months Ended

Jun. 30, 2023

Disclosure of detailed information about business combination [abstract]

On March 28, 2022, the Company acquired NetFortris Corporation. The Company paid an aggregate purchase price of $64,820, net of a net working capital adjustment of $(8,942), and comprised of $50,418 cash consideration, 1,494,536 common shares at a fair value of $16,801. The Company issued 1,494,536 common shares including 327,241 shares representing a holdback for indemnification purposes on closing of the acquisition. The Company estimates that a further payment of $6,543 will be paid as part of an earn out that is up to $11,500 if certain operating targets are met. The Company incurred estimated transaction costs in the amount of $2,939 which were expensed in the fiscal year ended June 30, 2022. The acquisition has been accounted for using the acquisition method under IFRS 3, Business Combinations.

The following table summarizes the fair value of consideration paid on the acquisition date and the allocation of the purchase price to the assets and liabilities acquired.


Consideration			$
Cash consideration on closing			43,868
Net working capital adjustment			(8,942)

Cash held in escrow for working capital			350
Cash held in escrow for telecom taxes			3,400
Cash held in escrow for indemnification			2,800
Additional consideration for earn out			6,543
Common shares issued on closing			13,122
Common shares reserved in escrow for indemnification			3,679

			64,820


Purchase price allocation			$
Cash			1,706
Trade receivables			1,822
Inventories			416

Property and equipment			4,172
Right-of-use assets			3,277
Other current assets			796
Other non-current assets			370
Deferred income tax asset			11,091
Accounts payable and accrued liabilities			(9,442)

Sales tax payable			(5,506)
Contract liabilities			(1,666)

Lease obligations on right-of-use assets			(3,277)
Other non-current liabilities			(235)
Intangible assets			29,000

Goodwill			32,296
			64,820