Citrix 2013 Annual Report Download - page 37

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key employees and our recent acquisitions and an increase in amortization of intangible assets primarily related to our recent
acquisitions. Also contributing to the decrease in Operating income and diluted net income per share is the decrease in gross
margin as a percentage of net revenue, as discussed above.
2013 Acquisitions
Zenprise
In January 2013, we acquired all of the issued and outstanding securities of Zenprise, a privately-held leader in mobile
device management. Zenprise became part of our Enterprise and Service Provider division, in which Citrix has integrated the
Zenprise offering for mobile device management into its XenMobile Enterprise edition. The total consideration for this
transaction was approximately $324.0 million, net of $2.9 million of cash acquired, and was paid in cash. Transaction costs
associated with the acquisition were approximately $0.6 million, of which we expensed approximately $0.1 million during the
year ended December 31, 2013 and are included in General and administrative expense in the accompanying consolidated
statements of income. In addition, in connection with the acquisition, we assumed certain stock options, which are exercisable
for 285,817 shares of our common stock, for which the vesting period reset fully upon the closing of the transaction.
2013 Other Acquisitions
During the third quarter of 2013, we acquired all of the issued and outstanding securities of a privately-held company. The
total cash consideration for this transaction was approximately $5.3 million. We will pay contingent consideration of up to $3.0
million in cash upon the satisfaction of certain milestone achievements, as defined pursuant to the share purchase agreement.
This business became part of our SaaS division. Transaction costs associated with the acquisition were approximately $0.2
million, all of which we expensed during the year ended December 31, 2013, and are included in General and administrative
expense in the accompanying consolidated statements of income.
During the fourth quarter of 2013, we acquired all of the issued and outstanding securities of a privately-held company.
The total cash consideration for this transaction was approximately $5.5 million. This business became part of our Enterprise
and Service Provider division. Transaction costs associated with the acquisition were approximately $0.2 million, all of which
we expensed during the year ended December 31, 2013, and are included in General and administrative expense in the
accompanying consolidated statements of income.
We have included the effects of all of the companies acquired in 2013 in our results of operations prospectively from the
date of each acquisition.
2012 Acquisitions
ByteMobile
In July 2012, we acquired all of the issued and outstanding securities of ByteMobile, a privately-held provider of data and
video optimization solutions for mobile network operators. ByteMobile became part of our Enterprise and Service Provider
division and extends our industry reach into the mobile and cloud markets. The total consideration for this transaction was
approximately $399.5 million, net of $5.6 million of cash acquired, and was paid in cash. Transaction costs associated with the
acquisition were approximately $2.1 million, all of which we expensed during the year ended December 31, 2012 and are
included in General and administrative expense in the accompanying consolidated statements of income.
Podio
In April 2012, we acquired all of the issued and outstanding securities of Podio, a privately-held provider of a cloud-based
collaborative work platform. Podio became part of our SaaS division and expands our offerings of integrated cloud-based
support for team-based collaboration. The total consideration for this transaction was approximately $43.6 million, net of $1.7
million of cash acquired, and was paid in cash. Transaction costs associated with the acquisition were approximately $0.5
million, all of which we expensed during the year ended December 31, 2012 and are included in General and administrative
expense in our accompanying consolidated statements of income. In addition, in connection with the acquisition, we assumed
non-vested stock units which were converted into the right to receive up to 127,668 shares of our common stock, for which the
vesting period reset fully upon the closing of the transaction.
2012 Other Acquisitions
During the first quarter of 2012, we acquired all of the issued and outstanding securities of a privately-held company for
total cash consideration of approximately $24.6 million, net of $0.6 million of cash acquired. This business became part of our
Enterprise and Service Provider division. Transaction costs associated with the acquisition were approximately $0.5 million, of
which we expensed $0.4 million during the year ended December 31, 2012 and are included in General and administrative
expense in the accompanying consolidated statements of income. In addition, in connection with this acquisition, we assumed
non-vested stock units which were converted into the right to receive up to 13,481 shares of our common stock and assumed