Acquisitions, Goodwill and Intangible Asset

3 Months Ended

Mar. 31, 2016

Business Combinations [Abstract]

Acquisitions, Goodwill and Intangible Asset

11. Acquisitions, Goodwill and Intangible Asset

Acquisitions

Effective January 1, 2016, the Company completed the acquisition of 100% of the issued and outstanding membership interest in each of GreenHaven Commodity Services, LLC, the managing owner of the GreenHaven Continuous Commodity Index Fund, and GreenHaven Coal Services, LLC, the sponsor of the GreenHaven Coal Fund, from GreenHaven, LLC and GreenHaven Group LLC, respectively, for approximately $11.8 million in cash. As part of the acquisition, the Company recognized an intangible asset of approximately $10.0 million and goodwill of approximately $1.8 million.

The following table summarizes the purchase price allocation:

Fair value acquired:
Assets	$	205
Goodwill		1,799
Intangible asset		9,953
Less: Liabilities		(132	)
Total	$	11,825

On April 15, 2014, the Company completed its acquisition of Boost, a U.K. and Jersey based ETP sponsor, now known as WisdomTree Europe. During the three months ended March 31, 2016 and 2015, the Company incurred $745 and $6 of compensation expense and $0 and $251 of interest expense, which represents contingent consideration due to the co-CEOs and non-employee shareholders. These amounts have both been recorded in acquisition contingent payment on the Company’s Consolidated Statements of Operations and Comprehensive Income.

Goodwill

The following table summarizes the goodwill activity during the period:

Balance at December 31, 2015		1,676
Goodwill acquired during the period		1,799
Balance at March 31, 2016	$	3,475

Intangible Asset

As part of its acquisition of GreenHaven, the Company identified an intangible asset related to its customary advisory agreement with the GreenHaven ETFs for $9,953. This intangible asset was determined to have an indefinite useful life.