Subsequent Events |
9 Months Ended |
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Sep. 30, 2021 | |
| Subsequent Events [Abstract] | |
| Subsequent Events | Subsequent Events On October 22, 2021, the Company entered into an agreement with DanChem Holdings, LLC. pursuant to which the Company purchased all of the issued and outstanding shares of common stock of DanChem Technologies, Inc. ("DanChem") for $32.95 million, subject to certain customary adjustments for working capital, transactions expenses, cash and debt. The acquisition closed simultaneously with the execution of the agreement and was funded under the Company's existing credit facility. DanChem is a leading, full-service specialty chemicals contract manufacturing organization boasting the largest fleet of horizontal reactors in the industry and producing a broad array of diversified products.
The Company incurred $0.2 million of related acquisition costs in the third quarter of 2021, which are reflected in "Acquisition costs and other" on the unaudited condensed consolidated statement of operations. The acquisition qualifies as a business combination and will be accounted for using the acquisition method of accounting.
As a result of the limited time since the acquisition date and the effort required to conform the financial statements to the Company's practices and policies, the initial accounting for the business combination is incomplete at the time of this filing. As a result, the Company is unable to provide the amounts recognized as of the acquisition date for the major classes of assets acquired and liabilities assumed. Also, the Company is unable to provide pro-forma revenues and earnings of the combined entity. This information will be included in the Company's Annual Report on Form 10-K for the year ended December 31, 2021.
On November 5, 2021, the Company drew the entirety of the $5.0 million delayed draw term loan under the Facility and immediately applied the proceeds towards its revolving line of credit. The term loan requires quarterly payments of $0.2 million with a balloon payment due upon maturity of the Facility in January 2025.
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