Acquisitions

3 Months Ended

Mar. 31, 2024

During the three months ended March 31, 2024, the Company acquired Revela Foods (“Revela”), a Wisconsin-based developer and manufacturer of innovative dairy flavor ingredients and solutions, FDL, a UK-based leading developer and producer of premium flavor and functional ingredient systems, and PT Trouw Nutrition Indonesia (“PT”), a subsidiary of Nutreco and leading provider of functional and nutritional solutions for livestock farming in Indonesia, for an aggregate cash consideration of $924 million.

The aggregate cash consideration of these acquisitions, net of $9 million in cash acquired, was allocated as follows, subject to final measurement period adjustments:


(In millions)	Revela		FDL		PT		Total
Working capital	$	50	$	—	$	5	$	55
Property, plant, and equipment	38		33		5		76
Goodwill	403		145		5		553
Other intangible assets	166		97		—		263
Other long-term assets	28		1		—		29
Long-term liabilities	(35)		(26)		—		(61)
Aggregate cash consideration	$	650	$	250	$	15	$	915

Goodwill recorded in connection with the acquisitions is primarily attributable to the synergies expected to arise after the Company’s acquisition of the businesses. Of the $553 million allocated to goodwill, none is expected to be deductible for tax purposes.

These acquisitions add capabilities to the Human and Animal Nutrition businesses. The Company’s consolidated statement of earnings for the quarter ended March 31, 2024 includes the post-acquisition results of the acquired businesses which were immaterial.

The following table sets forth the fair values and the useful lives of the other intangible assets acquired.


	Useful Lives			Revela		FDL		Total
	(In years)			(In millions)



Intangible assets with finite lives:
Trademarks/brands	3			$	—	$	4	$	4
Customer lists	10	to	18	124		73		197
Recipes and others	10	to	21	42		20		62
Total other intangible assets acquired				$	166	$	97	$	263