Quarterly report pursuant to Section 13 or 15(d)

Investments and Fair Value Measurements (Tables)

v3.21.2
Investments and Fair Value Measurements (Tables)
 9 Months Ended
Sep. 30, 2021
Fair Value Disclosures [Abstract]  
Schedule of Changes in Fair Value of Estimated Contingent Consideration

The following table represents changes in the fair value of estimated contingent consideration for the year ended December 31, 2020 and the three and nine months ended September 30, 2021:

Balance at January 1, 2020

 

$

15,921

 

Additions to estimated contingent consideration

 

 

—

 

Payments of contingent consideration

 

 

(741

)

Non-cash changes in fair value of estimated contingent consideration

 

 

1,222

 

Balance at December 31, 2020

 

 

16,402

 

Additions to estimated contingent consideration

 

 

—

 

Payments of contingent consideration

 

 

(114

)

Non-cash changes in fair value of estimated contingent consideration

 

 

2,300

 

Balance at March 31, 2021

 

 

18,588

 

Additions to estimated contingent consideration

 

 

—

 

Payments of contingent consideration

 

 

(260

)

Non-cash changes in fair value of estimated contingent consideration

 

 

1,600

 

Balance at June 30, 2021

 

$

19,928

 

Additions to estimated contingent consideration

 

 

—

 

Payments of contingent consideration

 

 

(3,370

)

Non-cash changes in fair value of estimated contingent consideration

 

 

670

 

Balance at September 30, 2021

 

$

17,228

 
Schedule of Inputs Used in Fair Value Measurement of Estimated Contingent Consideration

Inputs used in the fair value measurement of estimated contingent consideration at September 30, 2021 and December 31, 2020 are summarized below:

 

Monte Carlo Simulation Model

  

September 30,

2021

 

  

December 31,

2020

 

  

Fair Value
Hierarchy

 

Fair Value

  

$

17,228

 

  

$

16,402

 

  

 

Level 3

 

Forecasted growth rate

  

 

16.6

%

 

 

16.4

%  

  

 

 

 

Discount rate

 

 

10.1

%

 

 

11.7

%

 

 

 

 
Category of Financial Instruments Not Held at Fair Value

At September 30, 2021 and December 31, 2020, financial instruments that are not held at fair value are categorized in the table below:

 

 

  

September 30, 2021

 

  

December 31, 2020

 

  

 

 

 

  

Carrying
Amount

 

  

Fair
Value

 

  

Carrying
Amount

 

  

Fair
Value

 

  

Fair Value
Hierarchy

 

Financial Assets:

  

 

 

 

  

 

 

 

  

 

 

 

  

 

 

 

  

 

 

 

Cash and cash equivalents

  

$

65,930

 

 

$

65,930

  

  

$

62,498

  

  

$

62,498

  

  

 

Level 1

(1) 

Investments

 

$

53

 

 

$

53

 

 

$

914

 

 

$

914

 

 

 

N/A

(2)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Financial liabilities:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Borrowings under credit facility

 

$

9,900

 

 

$

9,900

 

 

$

12,600

 

 

$

12,600

 

 

 

Level 2

(3)

 

(1)

Includes $1,398 and $1,398 of cash equivalents at September 30, 2021 and December 31, 2020, respectively, that fall under Level 1 in the fair value hierarchy.

(2)

Investments consist of the Company’s equity method investments in affiliated investment funds which have been established and managed by the Company and its affiliates.  Fair value of investments is based on the net asset value of the affiliated investment funds which is a practical expedient for fair value, which is not included in the fair value hierarchy under GAAP.

(3)

The carrying value of borrowings under the revolving credit agreement approximates fair value, which is determined based on interest rates currently available to the Company for similar debt and the weighted average cost of capital of the Company.