Business Combinations (Tables)

12 Months Ended

Jan. 30, 2021

The purchase price allocation is as follows (in thousands):


	Previously Reported February 1, 2020 (Provisional)		Measurement Period Adjustment		January 30, 2021
Inventories	$	106,465	$	—	$	106,465
Prepaid expenses and other current assets	17,495		—		17,495
Property and equipment, net	25,677		—		25,677
Acquired intangible assets, net	379,000		—		379,000
Other non-current assets	6,870		—		6,870
Goodwill	129,392		606		129,998
Accrued liabilities	(64,155)		—		(64,155)
Deferred tax liabilities	(6,594)		(606)		(7,200)
Other non-current liabilities	(650)		—		(650)
	$	593,500	$	—	$	593,500

The purchase price allocation is as follows (in thousands):


	Previously Reported February 1, 2020 (Provisional)		Measurement Period Adjustment		January 30, 2021
Cash and short-term investments	$	27,914	$	—	$	27,914
Inventory	33,900		—		33,900
Goodwill	227,594		(1,049)		226,545
Acquired intangible assets	193,000		—		193,000
Other non-current assets	35,123		1,049		36,172
Accrued liabilities	(21,813)		—		(21,813)
Other, net	6,471		—		6,471
	$	502,189	$	—	$	502,189

The purchase price allocation is as follows (in thousands):


Cash and cash equivalents	$	180,989
Accounts receivable	112,270
Inventories	330,778
Prepaid expense and other current assets	19,890
Assets held for sale	483
Property and equipment	115,428
Acquired intangible assets	2,744,000
Other non-current assets	89,139
Goodwill	3,498,196
Accounts payable	(52,383)
Accrued liabilities	(126,007)
Accrued employee compensation	(34,813)
Deferred income	(2,466)
Current portion of long-term debt	(6,123)
Liabilities held for sale	(3,032)
Long-term debt	(600,005)
Non-current income taxes payable	(8,454)
Deferred tax liabilities	(79,995)
Other non-current liabilities	(16,099)
Total merger consideration	$	6,161,796

Summary of Total Merger Consideration


Cash consideration to Aquantia common stockholders	$	479,547
Cash consideration - director, employee & consultant grant accelerations and payout for employee stock purchase plan	7,122
Stock consideration for replacement equity awards attributable to pre-combination service	15,520
Total merger consideration	$	502,189

The factors contributing to the recognition of goodwill were based upon the Company's conclusion that there are strategic and synergistic benefits that are expected to be realized from the acquisition. Goodwill recorded for the Aquantia acquisition is not expected to be deductible for tax purposes.

The following table summarizes the total merger consideration (in thousands, except share and per share data):


Cash consideration to Cavium common stockholders	$	2,819,812
Common stock (153,376,408 shares of the Company's common stock at $21.34 per share)	3,273,053
Cash consideration for intrinsic value of vested director stock options and employee accelerated awards attributable to pre-acquisition service	10,642
Stock consideration for employee accelerated awards attributable to pre-acquisition service	7,804
Fair value of the replacement equity awards attributable to pre-acquisition service	50,485
Total merger consideration	$	6,161,796

Supplemental Pro Forma Financial Information

The unaudited supplemental pro forma financial information for the periods presented is as follows (in thousands):


	Year Ended
	February 1, 2020		February 2, 2019
Pro forma net revenue	$	3,011,550	$	3,638,086
Pro forma net income	$	1,532,594	$	(334,133)