Business Acquisitions

3 Months Ended

Nov. 30, 2018

Business Combinations [Abstract]

Business Acquisitions

Business Acquisitions

Fiscal year 2018

Binding offer

On December 12, 2018, the Company’s binding offer submitted on July 18, 2018 to form a strategic collaboration with Johnson & Johnson Medical Devices Companies, was accepted. This collaboration will significantly expand the Company’s medical device manufacturing portfolio, diversification and capabilities in the DMS segment. Completion of this transaction, which is subject to regulatory clearance and customary closing conditions, is expected to occur during fiscal years 2019 and 2020.

Fiscal year 2017

Acquisition

On September 1, 2017, the Company completed the acquisition of True-Tech Corporation (“True-Tech”) for approximately $95.9 million in cash. True-Tech is a manufacturer specializing in aerospace, semiconductor and medical machined components.

The acquisition of True-Tech assets has been accounted for as a business combination using the acquisition method of accounting. Assets acquired of $114.7 million, including $25.9 million in intangible assets and $22.6 million in goodwill, and liabilities assumed of $18.8 million were recorded at their estimated fair values as of the acquisition date. The excess of the purchase price over the fair value of the acquired assets and assumed liabilities was recorded to goodwill and was fully allocated to the EMS segment. The majority of the goodwill is currently expected to be deductible for income tax purposes. The results of operations were included in the Company’s condensed consolidated financial results beginning on September 1, 2017. Pro forma information has not been provided as the acquisition of True-Tech is not deemed to be significant.