15. ACQUISITION On November 27, 2018 (the Effective Date) the Company entered into a share purchase agreement for the acquisition of all the issued share capital (collectively, the Securities) of Exaxe Holdings Limited, a private limited company incorporated in Ireland (Exaxe). On the Effective Date, the Company completed the purchase of 90% of the Securities. The Company has agreed to purchase, and the sellers have agreed to sell to the Company, the remaining 10% of the Securities on August 1, 2019. The economic transfer date of Exaxe was October 1, 2018. In consideration for the purchase of the Securities, on the Effective Date, the Company paid the sellers EUR 6,392. In addition, the Company agreed to make an additional payment to the sellers of EUR 717 for the remainder of the Securities on August 1, 2019. All Euros are in thousands unless otherwise indicated. The Company also agreed to make certain earnout payments to the sellers if certain adjusted EBITDA (as defined in the Agreement) targets for Exaxe are met. If adjusted EBITDA for Exaxe for the period of January 1, 2019 through December 31, 2019 is at least equal to 75% of the adjusted EBITDA target for such year, the Company has agreed to pay EUR 625 to the sellers and an additional EUR 25 for each full 1% increase above 75%, up to a maximum of 100% (with a maximum earnout payment amount not to exceed EUR 1,250). If adjusted EBITDA for Exaxe for the period of January 1, 2020 through December 31, 2020 is at least equal to 75% of the adjusted EBITDA target for such year, the Company has agreed to pay EUR 750 to the sellers and an additional EUR 30 for each full 1% increase above 75%, up to a maximum of 100% (with a maximum earnout payment amount not to exceed EUR 1,500). If adjusted EBITDA for Exaxe for the period of January 1, 2021 through December 31, 2021 is at least equal to 75% of the adjusted EBITDA target for such year, the Company has agreed to pay EUR 875 to the sellers and an additional EUR 35 for each full 1% increase above 75%, up to a maximum of 100% (with a maximum earnout payment amount not to exceed EUR 1,750). In lieu of being paid to the sellers, a portion of these earn-out payments will be paid to key employees as bonuses if they remain employed by Exaxe at the earnout payment date. The Company may also withhold 15% of any earnout payment if a seller who is a key employee leaves the employment of Exaxe prior to the end of the earnout period (other than due to death, serious illness, compassionate grounds, by mutual agreement or termination judged to be inappropriate.) The Company will also be entitled to withhold and off set against any earnout payment such amounts due and payable or which may become due and payable by the sellers to the Company with respect to claims under the agreement and related transaction documents. The entire earnout amount of EUR 4,500 (less any portion already paid) will become due and payable upon a sale of beneficial interests in a majority of the outstanding shares of Exaxe or its subsidiary or a sale or other disposal in whole or substantial part of the undertaking or assets of Exaxe or its subsidiary before the end of the earnout period. The Company will also be restricted from making certain changes to the business of Exaxe, or diverting or redirecting Exaxes orders, revenue, customers, clients, suppliers or employees during the earnout period. In connection with the transaction, on the Effective Date, Exaxe Limited, a subsidiary of Exaxe, entered into employment agreements with each of Norman Carroll (the Chief Executive Officer of Exaxe) and Philip Naughton (the Executive Director  Business Development of Exaxe) pursuant to which Norman Carroll and Philip Naughton will act as SVP Ireland/UK Operations and Executive Director Business Development of Exaxe Limited, respectively. The Company agreed to grant Norman Carroll and Philip Naughton stock options awards with respect to such number of shares of the Companys common stock having an aggregate value of EUR 1,000,000 under to the Companys 2015 Plan. In addition, in connection with the transaction, the parties have agreed to enter into a revised lease agreement with certain sellers (including Norman Carroll and Philip Naughton) for certain real property facilities leased by Exaxe Limited. We have included the financial results of Exaxe in our consolidated financial statements from the date of acquisition. The purchase price for Exaxe was approximately $12,373. In connection with the Exaxe acquisition, we have recorded $9,837 of net assets and $2,536 of goodwill. The following table summarizes the amounts of identified assets acquired and liabilities assumed at the acquisition date: Recognized amount of identifiable assets acquired and liabilities assumed Amount Cash $ 654 Accounts receivable 611 Prepaid expenses and other current assets 474 Property, plant and equipment 42 Trade name 402 Customer relationships 1,104 Technology 7,149 Defer tax asset from prior net operating losses 167 Accounts payable (95 ) Accrued expenses (586 ) Deferred revenue (85 ) Total fair value of assets acquired 9,837 Total purchase consideration 12,373 Goodwill $ 2,536 The changes in the varying amount of goodwill are as follows: Changes in carrying amount of the goodwill As of December 31, 2018 As of March 31, 2018 Opening value $ 32,216 $ 32,275 Changes on account of currency fluctuation (26 ) 1 Impairment of Goodwill - (60 ) Addition on account of business combination 2,536 - Closing value $ 34,726 $ 32,216 Details of identifiable intangible assets acquired are as follows: Weighted average amortization period (in years) Amount assigned Residual value Technology 5 $ 7,149 - Trade name 10 402 - Customer relationships 15 1,104 - Total 6.49 $ 8,655 -