(22) Business Combinations

Fiscal year ended June 30, 2018

During the year ended June 30, 2018, we did not complete any material acquisitions.

Fiscal year ended June 30, 2017

On May 31, 2017, we completed the acquisition of assets in Conduit Technology, LLC (“Conduit”), a provider of documentation and workflow solutions. On June 30, 2017, we completed the acquisition of assets in AllCall Connect, LLC (“AllCall”), a provider of a live-calling solution for CPAP patient resupply. These acquisitions have been accounted for as business combinations using purchase accounting and are included in our consolidated financial statements from their respective acquisition dates. The acquisitions, individually and collectively, are not considered a material business combination and accordingly pro forma information is not provided. The acquisitions were funded through cash on-hand.

We have completed the purchase price allocations associated with the Conduit and AllCall acquisitions which did not result in any changes to the preliminary purchase price allocations recognized. The cost of the acquisitions was allocated to the assets acquired and liabilities assumed based on estimates of their fair values at the date of acquisition. The goodwill recognized as part of these acquisitions, which is deductible for tax purposes, mainly represents the synergies that are unique to our combined businesses and the potential for new products and services to be developed in the future. The fair values of assets acquired and liabilities assumed, and the estimated useful lives of intangible assets acquired are as follows (in thousands):


	Final		Intangible assets - useful life
Current assets	$	-
Property, plant and equipment		69
Trade names		100		3 years
Non-compete		520		1 - 3 years
Developed technology		1,800		5 years
Customer relationships		2,160		5 years
Goodwill		2,000
Assets acquired	$	6,649
Current liabilities		(60)
Total liabilities assumed	$	(60)
Net assets acquired	$	6,589

During the year ended June 30, 2017 we did not record material acquisition-related expenses.

Fiscal year ended June 30, 2016

Brightree

On April 4, 2016, we completed the acquisition of Brightree LLC (“Brightree”), a provider of cloud-based clinical and business management software for the post-acute care industry, for a total purchase consideration paid of $802 million. This acquisition has been accounted for as a business combination using purchase accounting and included in our consolidated financial statements from April 4, 2016. The acquisition was funded through cash on-hand, funds available from the existing revolving credit facility, an increase in the size of our revolving credit facility from $700 million to $1 billion and we also entered into a $300 million senior unsecured one-year term loan credit facility.

We completed the purchase price allocation in relation to this acquisition during the quarter ended March 31, 2017. The cost of the acquisition was allocated to the assets acquired and liabilities assumed based on estimates of their fair values at the date of acquisition. The goodwill recognized as part of these acquisitions, which is deductible for tax purposes, mainly represents the synergies that are unique to our combined businesses and the potential for new products and services to be developed in the future. The fair values of assets acquired and liabilities assumed, and the estimated useful lives of intangible assets acquired, are as follows (in thousands):


	Final		Intangible assets - useful life
Current assets	$	15,310
Property, plant and equipment		1,045
Trade names		28,700		10 years
In-process research and development		4,100		n/a
Developed technology		114,700		5 to 6 years
Customer relationships		51,000		10 to 15 years
Goodwill		602,996
Assets acquired	$	817,851
Current liabilities		(9,399)
Deferred revenue		(4,571)
Deferred tax liabilities		-
Total liabilities assumed	$	(13,970)
Net assets acquired	$	803,881