v3.24.2.u1
SUBSEQUENT EVENTS (Tables)
 3 Months Ended
Mar. 31, 2024
Restructuring Cost and Reserve [Line Items]  
SCHEDULE OF PRELIMINARY ESTIMATED FAIR VALUE

 

(in thousands, except for share price and exchange ratio)  April 2, 2024 
Number of MiX Telematics ordinary shares outstanding   554,021 
Exchange ratio   0.1276 
Shares of Powerfleet common stock to be issued for MiX ordinary shares outstanding   70,704 
Powerfleet stock price*  $5.12 
Fair value of Powerfleet common stock transferred to MiX Telematics shareholders  $362,005 
Replacement of acquiree’s equity awards by the acquirer**   7,818 
Total fair value of preliminary consideration  $369,823 

 

*Powerfleet’s closing share price on April 2, 2024
**The portion of the fair-value-based measure of the replacement award that is part of the consideration transferred in exchange for the acquiree equals the portion of the acquiree award that is attributable to pre-combination vesting.
SCHEDULE OF PRELIMINARY ALLOCATION OF PURCHASE PRICE

The following table details the allocation of the purchase price to the assets acquired and liabilities assumed in connection with the acquisition of Movingdots:

      
Consideration:    
Cash  $- 
Fair value of Powerfleet warrants on March 31, 2023   1,347 
Total consideration  $1,347 
      
Assets acquired:     
Cash  $8,722 
Accounts receivable   247 
Prepaid expenses   103 
Other assets   270 
Inventory   96 
Fixed assets   1,889 
Total assets acquired   11,327 
      
Liabilities assumed:     
Accounts payable and accrued expenses   946 
Total liabilities assumed   946 
      
Total identifiable net assets acquired   10,381 
Gain on bargain purchase   (9,034)
Purchase price consideration  $1,347 
SCHEDULE OF ACQUIRED IDENTIFIABLE INTANGIBLE ASSETS

The following table sets forth preliminary estimated fair values of the components of the identifiable intangible assets acquired and their estimated useful lives: 

 

(in thousands)  Fair value   Weighted Average Useful Lives 
Trade name   10,000    14 years 
Developed Technology   30,000    5 years 
Customer relationships   113,000    13 years 
   $153,000      
MiX Telematics [Member]  
Restructuring Cost and Reserve [Line Items]  
SCHEDULE OF PRELIMINARY ALLOCATION OF PURCHASE PRICE

The preliminary allocation of purchase price was as follows (in thousands):

 

Assets acquired:   April 2, 2024 
Assets acquired:   April 2, 2024 
Cash and cash equivalents  $26,737 
Restricted cash   794 
Accounts receivable   24,675 
Inventory   4,142 
Prepaid expenses and other current assets   8,886 
Fixed assets   35,587 
Intangible assets   153,000 
Right of use asset   3,794 
Deferred tax assets   1,093 
Other assets   973 
Total assets acquired  $259,681 
      
Liabilities assumed:     
Short-term bank debt and current maturities of long-term debt   20,158 
Accounts payable and accrued expenses   26,400 
Deferred revenue - current   6,394 
Lease liability - current   859 
Income taxes payable   355 
Lease liability - less current portion   2,852 
Deferred tax liability   48,725 
Other long-term liabilities   484 
Total liabilities assumed  $106,227 
      
Total identifiable net assets acquired  $153,454 
Non-controlling interest   (5)
Goodwill   216,374 
Purchase price consideration  $369,823 
SCHEDULE OF UNAUDITED PRO FORMA FINANCIAL INFORMATION

The following table represents the unaudited combined pro forma revenue and earnings for the three months ended March 31, 2024:

 

         
   Three Months Ended
March 31, 2024		 
   Historical   Pro forma combined (unaudited) 
         
Revenues  $33,740   $72,822 
Operating loss  $(7,647)  $(6,755)

 

The following table represents the unaudited combined pro forma revenue and earnings for the year ended December 31, 2023:

 

         
   Year Ended
December 31, 2023		 
   Historical   Pro forma combined (unaudited) 
         
Revenues  $133,736   $286,320 
Operating loss  $(12,557)  $(18,150)