EXCHANGE TRANSACTION (Tables)

12 Months Ended

Jul. 31, 2023

Related Party Transactions [Abstract]

Schedule of Exchange Transaction Consideration

The following table summarizes the total Exchange Transaction consideration:

(in thousands)	May 1, 2023
Fair value of Aerojet common stock	$	202,733
Fair value of Steel Holdings' previously held interests in Steel Connect and Steel Holdings' noncontrolling interest	111,816
Less: cash acquired from Steel Connect	(65,896)
Total estimated consideration, less cash acquired	$	248,653

Summary of Preliminary Fair Value of Assets Acquired and Liabilities Assumed

The following represents the preliminary calculation of goodwill and fair value amounts recognized:

(in thousands)	May 1, 2023
Assets
Accounts receivable, trade	$	36,900
Inventories, net	6,900
Prepaid expenses and other current assets	4,957
Other intangible assets	35,500
Other assets	3,900
Property and equipment, net	3,400
Operating lease right-of-use assets	29,250
Investments	202,733
Estimated fair value of total assets acquired by Steel Holdings	323,540
Liabilities
Accounts payable	26,300
Accrued expenses	29,100
Current lease obligations	7,994
Other current liabilities	7,236
Long-term lease obligations	21,300
Other long-term liabilities	5,742
Estimated fair value of total liabilities assumed by Steel Holdings	97,672
Fair value of identifiable net assets	225,868
Goodwill attributable to Steel Connect	$	22,785

Summary of Pushdown Accounting

The following table summarizes the significant adjustments recognized by the Company as of the Exchange date for each major class of assets and liabilities as a result of pushdown accounting:

	Exchange Date Carrying Value		Adjustments	Exchange Date Fair Value
(in thousands)
Goodwill	$	—	22,785	$	22,785
Other intangible assets	$	—	35,500	$	35,500
Operating lease right-of-use assets	$	28,900	350	$	29,250
Prepaid and other current assets	$	5,000	(43)	$	4,957
Convertible note payable	$	(11,586)	(1,420)	$	(13,006)
Other current liabilities	$	(16,671)	9,435	$	(7,236)
Other long-term liabilities	$	(5,500)	(242)	$	(5,742)

Finite-Lived and Indefinite-Lived Intangible Assets Acquired as Part of Exchange Transaction

The estimated fair value and estimated remaining useful lives of identifiable intangible assets as of the Exchange Transaction date were as follows:

(in thousands)	Useful Life (Years)	Amount
Customer relationships	7	$	25,000
Trade name	Indefinite	10,500
Estimated fair value of identifiable intangible assets		$	35,500