On 7 March 2011, Digia concluded an agreement with Nokia Plc for the acquisition of its commercial Qt business. The acquisition came into effect on 22 March 2011. This transaction included a right to sell commercial software licences for Qt technology, as exclusive supplier for the first three years.
The purchase price for the business acquired includes fixed and variable components. Fixed components amount to EUR 150,000, which were paid with the company’s cash reserves. In addition to fixed components, the seller is entitled to an additional purchase price in the event that the sales targets agreed upon for said business for 2011–2013 are met. For 2011 the additional purchase price came to EUR 1.0 million, which is EUR 0.8 million higher than the original estimate. The additional price will be paid in cash as agreed. Due to the higher-than-expected sales of 2011, the additional purchase price is now estimated to total EUR 1.5 million.
On the basis of the initial purchase price allocation, the majority of the acquisition price (EUR 0.8 million) is related to the exclusive sales rights and customer relationships acquired. The transaction carried no goodwill subject to testing.