XML 59 R49.htm IDEA: XBRL DOCUMENT v3.5.0.2
Acquisitions (Details) - USD ($)
$ / shares in Units, $ in Thousands
3 Months Ended 11 Months Ended
Nov. 25, 2015
Nov. 25, 2015
Sep. 30, 2016
Sep. 30, 2015
Sep. 30, 2016
Jun. 30, 2016
Fair value of total consideration transferred:            
Acquisition-related contingent consideration     $ 35,000      
Additional tax benefits     100,000      
Purchase price allocation of the assets acquired and liabilities assumed            
Goodwill     339,566   $ 339,566 $ 333,611
KUPI            
Acquisitions            
Percentage of outstanding equity interest 100.00% 100.00%        
Fair value of total consideration transferred:            
Cash purchase price paid to KUPI shareholders   $ 1,030,000        
Working capital adjustment   (41,605)        
Certain amounts reimbursed by UCB   (37,340)        
Total cash consideration transferred to KUPI shareholders   951,055        
12% Senior Notes Issued to UCB   200,000        
Acquisition-related contingent consideration   35,000        
Warrant issued to UCB   29,920        
Total consideration to KUPI shareholders   $ 1,215,975        
Incremental tax cost will be reimbursed (as a percent) 50.00% 50.00%        
Business combination recognized identifiable assets acquired and liabilities assumed cash on hand $ 94,600 $ 94,600        
Additional tax benefits 100,000          
Purchase price allocation of the assets acquired and liabilities assumed            
Cash and cash equivalents     16,877   16,877  
Accounts receivable, net of revenue-related reserves     129,408   129,408  
Inventories     84,009   84,009  
Other current assets     11,238   11,238  
Property, plant and equipment     111,849   111,849  
In-process research and development     125,000   125,000  
Goodwill     339,425   339,425  
Deferred tax assets     4,186   4,186  
Other assets     10,218   10,218  
Total assets acquired     1,281,130   1,281,130  
Accounts payable     (19,249)   (19,249)  
Accrued expenses     (6,079)   (6,079)  
Accrued payroll and payroll-related expenses     (21,040)   (21,040)  
Rebates payable     (9,816)   (9,816)  
Royalties payable     (3,602)   (3,602)  
Other liabilities     (5,369)   (5,369)  
Total net assets acquired     1,215,975   1,215,975  
Indemnification assets acquired 20,700 20,700        
Compensation related payments 10,400 10,400        
Unrecognized tax benefits 4,900 4,900        
Chargeback and rebate-related items 5,400 5,400        
Measurement Period Adjustments            
Accounts receivable, net of revenue-related reserves         (19,801)  
Inventories         194  
Other current assets         (1,635)  
Property, plant and equipment         14,431  
In-process research and development         (107,000)  
Goodwill         98,850  
Deferred tax assets         (770)  
Other assets         5,359  
Total assets acquired         6,628  
Accrued expenses         (1,918)  
Accrued payroll and payroll-related expenses         (309)  
Royalties payable         (196)  
Total net assets acquired         (4,597)  
Working capital adjustments     4,600      
Measurement-period adjustment to returns reserve     6,000      
Unaudited Pro Forma Financial Results            
Net sales       $ 183,966    
Net income attributable to Lannett Company, Inc.       $ 26,136    
Earnings per common share attributable to Lannett Company, Inc.:            
Basic       $ 0.72    
Diluted       $ 0.70    
Proforma earnings       $ 26,136    
KUPI | Scenario, Previously Reported            
Purchase price allocation of the assets acquired and liabilities assumed            
Cash and cash equivalents 16,877 16,877        
Accounts receivable, net of revenue-related reserves 149,209 149,209        
Inventories 83,815 83,815        
Other current assets 12,873 12,873        
Property, plant and equipment 97,418 97,418        
In-process research and development 232,000 232,000        
Goodwill 240,575 240,575        
Deferred tax assets 4,956 4,956        
Other assets 4,859 4,859        
Total assets acquired 1,274,502 1,274,502        
Accounts payable (19,249) (19,249)        
Accrued expenses (4,161) (4,161)        
Accrued payroll and payroll-related expenses (20,731) (20,731)        
Rebates payable (9,816) (9,816)        
Royalties payable (3,798) (3,798)        
Other liabilities (5,369) (5,369)        
Total net assets acquired $ 1,211,378 1,211,378        
KUPI | Acquisition-related Costs            
Unaudited Pro Forma Financial Results            
Net income attributable to Lannett Company, Inc.       5,600    
Earnings per common share attributable to Lannett Company, Inc.:            
Proforma earnings       5,600    
KUPI | Acquisition costs incurred by acquirer            
Earnings per common share attributable to Lannett Company, Inc.:            
Acquisition-related expenses       3,900    
KUPI | Acquisition costs incurred by acquiree            
Earnings per common share attributable to Lannett Company, Inc.:            
Acquisition-related expenses       $ 1,700    
KUPI | Fair value set-up adjustment            
Purchase price allocation of the assets acquired and liabilities assumed            
Inventory fair value step-up adjustments   $ 19,100        
Senior Notes due 2023            
Fair value of total consideration transferred:            
Debt instrument, stated percentage 12.00% 12.00%        
Aggregate principal amount $ 250,000 $ 250,000        
Revolving Credit Facility            
Fair value of total consideration transferred:            
Aggregate principal amount 22,800 22,800        
Term loans            
Fair value of total consideration transferred:            
Aggregate principal amount 910,000 910,000        
Product rights | KUPI            
Purchase price allocation of the assets acquired and liabilities assumed            
Intangible assets     427,000   427,000  
Measurement Period Adjustments            
Intangible assets         18,000  
Product rights | KUPI | Scenario, Previously Reported            
Purchase price allocation of the assets acquired and liabilities assumed            
Intangible assets 409,000 409,000        
Trade name | KUPI            
Purchase price allocation of the assets acquired and liabilities assumed            
Intangible assets     2,920   2,920  
Trade name | KUPI | Scenario, Previously Reported            
Purchase price allocation of the assets acquired and liabilities assumed            
Intangible assets 2,920 2,920        
Other Intangible Assets | KUPI            
Purchase price allocation of the assets acquired and liabilities assumed            
Intangible assets     $ 19,000   19,000  
Measurement Period Adjustments            
Intangible assets         $ (1,000)  
Other Intangible Assets | KUPI | Scenario, Previously Reported            
Purchase price allocation of the assets acquired and liabilities assumed            
Intangible assets $ 20,000 $ 20,000