Acquisitions and Divestitures

9 Months Ended

Apr. 29, 2023

Business Combination and Asset Acquisition [Abstract]

We completed two acquisitions during the first nine months of fiscal 2023. A summary of the allocation of the total purchase consideration is presented as follows (in millions):


	Purchase Consideration		Net Tangible Assets Acquired (Liabilities Assumed)		Purchased Intangible Assets		Goodwill
Total acquisitions (two in total)	$	96	$	(7)	$	56	$	47

The total purchase consideration related to our acquisitions completed during the first nine months of fiscal 2023 consisted of cash consideration. Total transaction costs related to acquisition and divestiture activities were $6 million and $44 million for the first nine months of fiscal 2023 and 2022, respectively. These transaction costs were expensed as incurred in general and administrative expenses (“G&A”) in the Consolidated Statements of Operations.

The goodwill generated from acquisitions completed during the first nine months of fiscal 2023 is primarily related to expected synergies. The goodwill is generally not deductible for income tax purposes.

The Consolidated Financial Statements include the operating results of each acquisition from the date of acquisition. Pro forma results of operations and the revenue and net income subsequent to the acquisition date for the acquisitions completed during the first nine months of fiscal 2023 have not been presented because the effects of the acquisition were not material to our financial results.