6. Acquisitions of Subsidiaries, Associates and Non-Controlling Interests

The following acquisitions and adjustments to the purchase price allocation were done in 2016.

Store and chain acquisitions

During 2016 the Group acquired 22 stores in the segments G4 and Other Europe. In the Americas & Asia segment, the Group acquired in April 2016 the optical retail chain Optica Lux in Uruguay consisting of 9 stores and in Mexico, the Group acquired in July 2016, 181 small points of sale from Walmart Mexico. With these acquisitions the Group further strengthened its market position within the respective regions. After the initial allocation of the consideration transferred for the acquisitions of the assets, liabilities and contingent liabilities in 2016, an amount of €7,597 was identified as provisional goodwill. The goodwill is attributable to the high profitability of the acquired businesses and the expected synergies following the integration of the acquired businesses into our existing organization. The goodwill mainly comprises the skilled employees and the locations of the acquired stores and chain, which cannot be recognized as separately identifiable assets.

For Eyes and other adjustments to purchase price allocation

The Group finalized the purchase price allocation for For Eyes and other acquisitions done in 2015. This resulted in a change in the value of recognized intangibles and recognition and derecognition of certain assets and liabilities and accordingly the recognized goodwill decreased by €3,647. This also includes a reduced purchase price of €2,827 related to the For Eyes chain in the United States resulting from the finalization of the valuation of working capital at acquisition date.

in thousands of EUR

Stores and chain acquisitions

Adjustments to purchase price allocation

Total

Property, plant and equipment

1,699

- 197

1,502

Other intangibles assets

7,101

3,103

10,204

Deferred income tax assets

5

123

128

Other non-current assets

10

-

10

Inventories

1,634

-

1,634

Trade and other receivables

1,157

- 552

605

Cash and cash equivalents

129

-

129

Deferred income tax liabilities

- 1,391

- 1,739

- 3,130

Trade and other payables

- 2,415

383

- 2,032

Current borrowings

- 163

-

- 163

Fair value of acquired net assets and liabilities

7,766

1,121

8,887

Consideration paid in cash and cash equivalents

15,363

- 2,526

12,837

Cash and cash equivalents and bank overdrafts at acquired subsidiary

- 108

-

- 108

Outflow of cash and cash equivalents net of cash acquired

15,255

- 2,526

12,729

Total consideration transferred or to be transferred

15,363

- 2,526

12,837

Fair value of acquired net assets and liabilities

7,766

1,121

8,887

Goodwill

7,597

- 3,647

3,950

The goodwill amortization in the United States is not tax-deductible.

The acquisitions in 2016 contributed the following in revenue and net result for the Group:

in thousands of EUR

Stores and chain acquisitions

Adjustments to purchase price allocation

Total

Revenue

11,016

-

11,016

Net result

- 1,847

-

- 1,847

Had the acquisitions in 2016 been consolidated for the full year, revenue and net result would be:

in thousands of EUR

Stores and chain acquisitions

Adjustments to purchase price allocation

Total

Revenue

19,978

-

19,978

Net result

- 3,144

-

- 3,144

Aquisitions costs for the above acquisitions amount to €1,502 and are included in the general and administrative costs in the Income Statement.