Annual report pursuant to Section 13 and 15(d)

RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Tables)

v3.22.4
RESTATEMENT OF PREVIOUSLY ISSUED FINANCIAL STATEMENTS (Tables)
12 Months Ended
Dec. 31, 2022
Accounting Changes and Error Corrections [Abstract]  
Summary of Error Correction Adjustments
CONDENSED CONSOLIDATED BALANCE SHEET
(in thousands, except share and per share data)
(Unaudited)
September 30, 2022
As Reported Adjustment As Restated
ASSETS
Current assets:
 Cash and cash equivalents $ 166,256  $ —  $ 166,256 
Accounts receivable, net 85,612  —  85,612 
Inventories 120,467  —  120,467 
Income tax receivable 655  —  655 
Prepaid expenses and other current assets 4,876  —  4,876 
Total current assets 377,866  —  377,866 
Property, plant and equipment, net 57,187  —  57,187 
Goodwill 1,019,387  —  1,019,387 
Customer lists, net 715,829  —  715,829 
Technology and patents, net 233,861  —  233,861 
Tradenames, net 95,047  —  95,047 
Other assets, net 1,877  —  1,877 
Total assets $ 2,501,054  $ —  $ 2,501,054 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable $ 31,856  $ —  $ 31,856 
Accrued expenses and other current liabilities 124,429  (65,401) 59,028 
Founders advisory fees payable - related party 9,836  —  9,836 
Deferred revenue 1,272  —  1,272 
Total current liabilities 167,393  (65,401) 101,992 
Long-term debt 664,986  —  664,986 
Deferred income taxes 222,952  50,467  273,419 
Founders advisory fees payable - related party 134,598  —  134,598 
Redeemable preferred shares 100,263  —  100,263 
Redeemable preferred shares - related party 3,245  —  3,245 
Other non-current liabilities 8,951  —  8,951 
Total liabilities 1,302,388  (14,934) 1,287,454 
Commitments and contingencies
Shareholders’ equity:
Ordinary shares, $1 nominal value per share, 4,000,000,000 shares authorized; 163,234,542 shares issued; 162,316,326 shares outstanding
163,235  —  163,235 
Treasury shares, at cost; 918,216 shares
(7,572) —  (7,572)
Additional paid-in capital 1,697,644  (11,746) 1,685,898 
Accumulated other comprehensive loss (41,561) —  (41,561)
Accumulated deficit (613,080) 26,680  (586,400)
Total shareholders’ equity 1,198,666  14,934  1,213,600 
Total liabilities and shareholders’ equity $ 2,501,054  $ —  $ 2,501,054 
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE INCOME (LOSS)
(in thousands, except share and per share data)
(Unaudited)

Three Months Ended September 30, 2022 Nine Months Ended September 30, 2022
As Reported Adjustment As Restated As Reported Adjustment As Restated
Net sales $ 160,509  $ —  $ 160,509  $ 319,232  $ —  $ 319,232 
Cost of goods sold 74,707  (946) 73,761  191,757  (4,603) 187,154 
Gross profit 85,802  946  86,748  127,475  4,603  132,078 
Operating expenses:
Selling, general and administrative expense 22,381  (6,731) 15,650  64,803  (10,320) 54,483 
Amortization expense 13,738  —  13,738  41,395  —  41,395 
Founders advisory fees - related party (73,713) —  (73,713) (154,026) —  (154,026)
Other operating expense (51) —  (51) 405  —  405 
Total operating expenses (37,645) (6,731) (44,376) (47,423) (10,320) (57,743)
Operating income 123,447  7,677  131,124  174,898  14,923  189,821 
Other expense (income):
Interest expense, net 9,944  —  9,944  32,582  —  32,582 
Gain on contingent earn-out (3,644) —  (3,644) (13,042) —  (13,042)
Unrealized foreign currency loss 4,705  —  4,705  8,741  —  8,741 
Other income, net (785) —  (785) (820) —  (820)
Total other expense, net 10,220  —  10,220  27,461  —  27,461 
Income before income taxes 113,227  7,677  120,904  147,437  14,923  162,360 
Income tax (expense) benefit (34,516) 19,839  (14,677) (23,692) 13,449  (10,243)
Net income 78,711  27,516  106,227  123,745  28,372  152,117 
Other comprehensive loss, net of tax:
Foreign currency translation adjustments (18,181) —  (18,181) (34,426) —  (34,426)
Total comprehensive income $ 60,530  $ 27,516  $ 88,046  $ 89,319  $ 28,372  $ 117,691 
Earnings per share:
Basic $ 0.48  $ 0.17  $ 0.65  $ 0.76  $ 0.18  $ 0.94 
Diluted $ 0.45  $ 0.15  $ 0.60  $ 0.70  $ 0.16  $ 0.86 
Weighted average number of ordinary shares outstanding:
Basic 162,635,592  —  162,635,592  161,943,492  —  161,943,492 
Diluted 176,777,958  —  176,777,958  176,085,858  —  176,085,858 
CONDENSED CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY
(in thousands, except share data)
(Unaudited)

Ordinary Shares Treasury Shares Additional
Paid-in
Capital
Accumulated
Other
Comprehensive
Loss
Accumulated
Deficit
Total
Shareholders'
Equity
Shares Amount Shares Amount
As Reported
Balance, June 30, 2022 163,234,542  $ 163,235  597,513  $ (5,008) $ 1,690,812  $ (23,380) $ (691,791) $ 1,133,868 
Share-based compensation —  —  —  —  6,832  —  —  6,832 
Ordinary shares repurchased —  —  320,703  (2,564) —  —  —  (2,564)
Net income —  —  —  —  —  —  78,711  78,711 
Other comprehensive loss —  —  —  —  —  (18,181) —  (18,181)
Balance, September 30, 2022 163,234,542  $ 163,235  918,216  $ (7,572) $ 1,697,644  $ (41,561) $ (613,080) $ 1,198,666 
Adjustments
Balance, June 30, 2022 —  $ —  —  $ —  $ (4,069) $ —  $ (836) $ (4,905)
Share-based compensation —  —  —  —  (7,677) —  —  (7,677)
Net income —  —  —  —  —  —  27,516  27,516 
Total Adjustments —  $ —  —  $ —  $ (11,746) $ —  $ 26,680  $ 14,934 
As Restated
Balance, June 30, 2022 163,234,542  $ 163,235  597,513  $ (5,008) $ 1,686,743  $ (23,380) $ (692,627) $ 1,128,963 
Share-based compensation —  —  —  —  (845) —  —  (845)
Ordinary shares repurchased —  —  320,703  (2,564) —  —  —  (2,564)
Net income —  —  —  —  —  —  106,227  106,227 
Other comprehensive loss —  —  —  —  —  (18,181) —  (18,181)
Balance, September 30, 2022 163,234,542  $ 163,235  918,216  $ (7,572) $ 1,685,898  $ (41,561) $ (586,400) $ 1,213,600 
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(in thousands)
(Unaudited)
Nine Months Ended September 30, 2022
As Reported Adjustment As Restated
Cash flows from operating activities:
Net income $ 123,745  $ 28,372  $ 152,117 
Adjustments to reconcile net income to net cash used in operating activities:
Founders advisory fees - related party (change in accounting fair value) (154,026) —  (154,026)
Depreciation and amortization expense 49,536  —  49,536 
Interest and payment-in-kind on preferred shares 4,903  —  4,903 
Share-based compensation 19,297  (11,746) 7,551 
Deferred income taxes (72,441) 51,953  (20,488)
Amortization of deferred financing costs 1,196  —  1,196 
Amortization of acquisition related inventory step-up 27,973  (3,177) 24,796 
Gain on contingent earn-out (13,042) —  (13,042)
Unrealized loss on foreign currency 8,741  —  8,741 
Loss on disposal of assets — 
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable (63,838) —  (63,838)
Inventories (40,759) —  (40,759)
Prepaid expenses and other current assets 9,058  —  9,058 
Accounts payable 4,975  —  4,975 
Deferred revenue 889  —  889 
Income taxes payable, net 88,673  (65,402) 23,271 
Accrued expenses and other current liabilities 15,547  —  15,547 
Founders advisory fees - related party (cash settled) (53,547) —  (53,547)
Other liabilities (73) —  (73)
Net cash used in operating activities (43,184) —  (43,184)
Cash flows from investing activities:
Purchase of property and equipment (6,024) —  (6,024)
Purchase price adjustment under Business Combination Agreement (1,638) —  (1,638)
Net cash used in investing activities (7,662) —  (7,662)
Cash flows from financing activities:
Ordinary shares repurchased (7,572) —  (7,572)
Proceeds from exercise of warrants 529  529 
Net cash used in financing activities (7,043) —  (7,043)
Effect of foreign currency on cash and cash equivalents (1,409) —  (1,409)
Net change in cash and cash equivalents (59,298) —  (59,298)
Cash and cash equivalents, beginning of period 225,554  —  225,554 
Cash and cash equivalents, end of period $ 166,256  $ —  $ 166,256 
Supplemental disclosures of cash flow information:
Cash paid for interest $ 18,299  $ —  $ 18,299 
Cash paid for income taxes $ 7,588  $ —  $ 7,588 
Non-cash investing and financing activities:
Liability portion of founders advisory fees - related party reclassified to additional paid in capital $ 13,783  $ —  $ 13,783 
CONDENSED CONSOLIDATED BALANCE SHEET
(in thousands, except share and per share data)
(Unaudited)
June 30, 2022
As Reported Adjustment As Restated
ASSETS
Current assets:
 Cash and cash equivalents $ 125,502  $ —  $ 125,502 
Accounts receivable, net 68,458  —  68,458 
Inventories 123,065  —  123,065 
Income tax receivable 25,608  (14,167) 11,441 
Prepaid expenses and other current assets 6,763  —  6,763 
Total current assets 349,396  (14,167) 335,229 
Property, plant and equipment, net 59,155  —  59,155 
Goodwill 1,031,219  —  1,031,219 
Customer lists, net 730,339  —  730,339 
Technology and patents, net 239,043  —  239,043 
Tradenames, net 96,960  —  96,960 
Other assets, net 1,992  —  1,992 
Total assets $ 2,508,104  $ (14,167) $ 2,493,937 
LIABILITIES AND SHAREHOLDERS’ EQUITY
Current liabilities:
Accounts payable $ 42,967  $ —  $ 42,967 
Accrued expenses and other current liabilities 22,876  —  22,876 
Founders advisory fees payable - related party 27,116  —  27,116 
Deferred revenue 5,387  —  5,387 
Total current liabilities 98,346  —  98,346 
Long-term debt 664,696  —  664,696 
Deferred income taxes 304,993  (9,262) 295,731 
Founders advisory fees payable - related party 191,031  —  191,031 
Redeemable preferred shares 99,312  —  99,312 
Redeemable preferred shares - related party 3,215  —  3,215 
Other non-current liabilities 12,643  —  12,643 
Total liabilities 1,374,236  (9,262) 1,364,974 
Commitments and contingencies
Shareholders’ equity:
Ordinary shares, $1 nominal value per share, 4,000,000,000 shares authorized; 163,234,542 shares issued; 162,637,029 shares outstanding
163,235  —  163,235 
Treasury shares, at cost; 597,513 shares
(5,008) —  (5,008)
Additional paid-in capital 1,690,812  (4,069) 1,686,743 
Accumulated other comprehensive loss (23,380) —  (23,380)
Accumulated deficit (691,791) (836) (692,627)
Total shareholders’ equity 1,133,868  (4,905) 1,128,963 
Total liabilities and shareholders’ equity $ 2,508,104  $ (14,167) $ 2,493,937 
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE INCOME (LOSS)
(in thousands, except share and per share data)
(Unaudited)

Three Months Ended June 30, 2022 Six Months Ended June 30, 2022
As Reported Adjustment As Restated As Reported Adjustment As Restated
Net sales $ 100,965  $ —  $ 100,965  $ 158,723  $ —  $ 158,723 
Cost of goods sold 72,423  (373) 72,050  117,050  (3,657) 113,393 
Gross profit 28,542  373  28,915  41,673  3,657  45,330 
Operating expenses:
Selling, general and administrative expense 22,614  (2,935) 19,679  42,422  (3,589) 38,833 
Amortization expense 13,802  —  13,802  27,657  —  27,657 
Founders advisory fees - related party (20,465) —  (20,465) (80,313) —  (80,313)
Other operating expense 260  —  260  456  —  456 
Total operating expenses 16,211  (2,935) 13,276  (9,778) (3,589) (13,367)
Operating income 12,331  3,308  15,639  51,451  7,246  58,697 
Other expense (income):
Interest expense, net 12,142  —  12,142  22,638  —  22,638 
Gain on contingent earn-out (9,398) —  (9,398) (9,398) —  (9,398)
Unrealized foreign currency loss 3,156  —  3,156  4,036  —  4,036 
Other income, net (200) —  (200) (35) —  (35)
Total other expense, net 5,700  —  5,700  17,241  —  17,241 
Income before income taxes 6,631  3,308  9,939  34,210  7,246  41,456 
Income tax benefit (expense) 592  (1,604) (1,012) 10,824  (6,390) 4,434 
Net income 7,223  1,704  8,927  45,034  856  45,890 
Other comprehensive loss, net of tax:
Foreign currency translation adjustments (16,371) —  (16,371) (16,245) —  (16,245)
Total comprehensive (loss) income $ (9,148) $ 1,704  $ (7,444) $ 28,789  $ 856  $ 29,645 
Earnings per share:
Basic $ 0.04  $ 0.01  $ 0.05  $ 0.28  $ —  $ 0.28 
Diluted $ 0.04  $ 0.01  $ 0.05  $ 0.26  $ —  $ 0.26 
Weighted average number of ordinary shares outstanding:
Basic 162,917,478  —  162,917,478  161,591,704  —  161,591,704 
Diluted 177,059,844  —  177,059,844  175,734,070  —  175,734,070 
CONDENSED CONSOLIDATED STATEMENT OF SHAREHOLDERS' EQUITY
(in thousands, except share data)
(Unaudited)

Ordinary Shares Treasury Shares Additional
Paid-in
Capital
Accumulated
Other
Comprehensive
Loss
Accumulated
Deficit
Total
Shareholders'
Equity
Shares Amount Shares Amount
As Reported
Balance, March 31, 2022 163,234,542  $ 163,235  —  $ —  $ 1,684,071  $ (7,009) $ (699,014) $ 1,141,283 
Share-based compensation —  —  —  —  6,741  —  —  6,741 
Ordinary shares repurchased —  —  597,513  (5,008) —  —  —  (5,008)
Net income —  —  —  —  —  —  7,223  7,223 
Other comprehensive loss —  —  —  —  —  (16,371) —  (16,371)
Balance, June 30, 2022 163,234,542  $ 163,235  597,513  $ (5,008) $ 1,690,812  $ (23,380) $ (691,791) $ 1,133,868 
Adjustments
Balance, March 31, 2022 —  $ —  —  $ —  $ (761) $ —  $ (2,540) $ (3,301)
Share-based compensation —  —  —  —  (3,308) —  —  (3,308)
Net income —  —  —  —  —  —  1,704  1,704 
Total Adjustments —  $ —  —  $ —  $ (4,069) $ —  $ (836) $ (4,905)
As Restated
Balance, March 31, 2022 163,234,542  $ 163,235  —  $ —  $ 1,683,310  $ (7,009) $ (701,554) $ 1,137,982 
Share-based compensation —  —  —  —  3,433  —  —  3,433 
Ordinary shares repurchased —  —  597,513  (5,008) —  —  —  (5,008)
Net income —  —  —  —  —  —  8,927  8,927 
Other comprehensive loss —  —  —  —  —  (16,371) —  (16,371)
Balance, June 30, 2022 163,234,542  $ 163,235  597,513  $ (5,008) $ 1,686,743  $ (23,380) $ (692,627) $ 1,128,963 
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS
(in thousands)
(Unaudited)
Six Months Ended June 30, 2022
As Reported Adjustment As Restated
Cash flows from operating activities:
Net income $ 45,034  $ 856  $ 45,890 
Adjustments to reconcile net income to net cash used in operating activities:
Founders advisory fees - related party (change in accounting fair value) (80,313) —  (80,313)
Depreciation and amortization expense 33,086  —  33,086 
Interest and payment-in-kind on preferred shares 3,268  —  3,268 
Share-based compensation 12,465  (4,069) 8,396 
Deferred income taxes 7,648  (7,777) (129)
Amortization of deferred financing costs 793  —  793 
Amortization of acquisition related inventory step-up 27,315  (3,177) 24,138 
Gain on contingent earn-out (9,398) —  (9,398)
Unrealized loss on foreign currency 4,036  —  4,036 
Loss on disposal of assets — 
Changes in operating assets and liabilities, net of acquisitions:
Accounts receivable (44,477) —  (44,477)
Inventories (41,431) —  (41,431)
Income tax receivable (24,778) 14,167  (10,611)
Prepaid expenses and other current assets 7,301  —  7,301 
Accounts payable 15,834  —  15,834 
Deferred revenue 4,991  —  4,991 
Accrued expenses and other current liabilities 2,789  —  2,789 
Founders advisory fees - related party (cash settled) (53,547) —  (53,547)
Other liabilities 24  —  24 
Net cash used in operating activities (89,351) —  (89,351)
Cash flows from investing activities:
Purchase of property and equipment (4,006) —  (4,006)
Purchase price adjustment under Business Combination Agreement (1,638) —  (1,638)
Net cash used in investing activities (5,644) —  (5,644)
Cash flows from financing activities:
Ordinary shares repurchased (5,008) —  (5,008)
Proceeds from exercise of warrants 529  529 
Net cash used in financing activities (4,479) —  (4,479)
Effect of foreign currency on cash and cash equivalents (578) —  (578)
Net change in cash and cash equivalents (100,052) —  (100,052)
Cash and cash equivalents, beginning of period 225,554  —  225,554 
Cash and cash equivalents, end of period $ 125,502  $ —  $ 125,502 
Supplemental disclosures of cash flow information:
Cash paid for interest $ 17,919  $ —  $ 17,919 
Cash paid for income taxes $ 6,572  $ —  $ 6,572 
Non-cash investing and financing activities:
Liability portion of founders advisory fees - related party reclassified to additional paid in capital $ 13,783  $ —  $ 13,783 
The impact of the revision on the Company’s unaudited financial statements for the March 2022 Quarter are presented below (in thousands):
MARCH 2022 QUARTER
March 31, 2022
Condensed Consolidated Balance Sheet As Reported Adjustment As Revised
Income tax receivable $ 17,935  $ (10,182) $ 7,753 
Total current assets 332,225  (10,182) 322,043 
Total assets 2,523,596  (10,182) 2,513,414 
Deferred income taxes 304,974  (6,881) 298,093 
Total liabilities 1,382,313  (6,881) 1,375,432 
Additional paid-in capital 1,684,071  (761) 1,683,310 
Accumulated deficit (699,014) (2,540) (701,554)
Total shareholders’ equity 1,141,283  (3,301) 1,137,982 
Total liabilities and shareholders’ equity 2,523,596  (10,182) 2,513,414 

Condensed Consolidated Statement of Operations and Comprehensive Income (Loss) Three Months Ended March 31, 2022
As Reported Adjustment As Revised
Cost of goods sold $ 44,627  $ (3,284) $ 41,343 
Gross profit 13,131  3,284  16,415 
Selling, general and administrative expense 19,808  (654) 19,154 
Total operating expenses (25,989) (654) (26,643)
Operating income 39,120  3,938  43,058 
Income before income taxes 27,579  3,938  31,517 
Income tax benefit (expense) 10,232  (4,786) 5,446 
Net income (loss) 37,811  (848) 36,963 
Total comprehensive income (loss) 37,937  (848) 37,089 
Earnings per share:
Basic $ 0.24  $ (0.01) $ 0.23 
Diluted $ 0.22  $ (0.01) $ 0.21 
Three Months Ended March 31, 2022
Condensed Consolidated Statement of Shareholders’ Equity Additional
Paid-in Capital
Accumulated Deficit Total Shareholders’ Equity
Balance, December 31, 2021, as reported $ 1,670,033  $ (736,825) $ 1,083,310 
Adjustments —  (1,692) (1,692)
Balance, December 31, 2021, as revised 1,670,033  (738,517) 1,081,618 
Share-based compensation, as reported $ 5,724  $ —  $ 5,724 
Adjustments (761) —  (761)
Share-based compensation, as revised 4,963  —  4,963 
Net income, as reported $ —  $ 37,811  $ 37,811 
Adjustments —  (848) (848)
Net income, as revised —  36,963  36,963 
Balance, March 31, 2022, as reported $ 1,684,071  $ (699,014) $ 1,141,283 
Adjustments (761) (2,540) (3,301)
Balance, March 31, 2022, as revised 1,683,310  (701,554) 1,137,982 
Condensed Consolidated Statement of Cash Flows Three Months Ended March 31, 2022
As Reported Adjustment As Revised
Cash flow from operating activities:
Net income (loss) $ 37,811  $ (848) $ 36,963 
Adjustments to reconcile net income to net cash used in operating activities:
Share-based compensation $ 5,724  $ (761) $ 4,963 
Deferred income taxes 6,239  (5,396) 843 
Amortization of acquisition related inventory step-up 9,299  (3,177) 6,122 
Changes in operating assets and liabilities, net of acquisitions:
Income tax receivable $ (16,150) $ 10,182  $ (5,968)
The impact of the revision on the Company’s audited financial statements for the December 2021 Period are presented below (in thousands):
DECEMBER 2021 PERIOD
December 31, 2021
Consolidated Balance Sheet As Reported Adjustment As Revised
Inventories $ 110,087  $ (3,177) $ 106,910 
Total current assets 374,937  (3,177) 371,760 
Total assets 2,581,560  (3,177) 2,578,383 
Deferred income taxes 298,633  (1,485) 297,148 
Total liabilities 1,498,250  (1,485) 1,496,765 
Accumulated deficit (736,825) (1,692) (738,517)
Total shareholders’ equity 1,083,310  (1,692) 1,081,618 
Total liabilities and shareholders’ equity 2,581,560  (3,177) 2,578,383 

Consolidated Statement of Operations and Comprehensive Income (Loss) November 9, 2021 Through December 31, 2021
As Reported Adjustment As Revised
Cost of goods sold $ 20,533  $ 3,177  $ 23,710 
Gross profit 490  (3,177) (2,687)
Operating loss (677,578) (3,177) (680,755)
Loss before income taxes (685,132) (3,177) (688,309)
Income tax benefit 4,675  1,485  6,160 
Net loss (680,457) (1,692) (682,149)
Total comprehensive loss (687,592) (1,692) (689,284)
Net loss per share:
Basic and diluted $ (4.33) $ (0.01) $ (4.34)

November 9, 2021
Through December 31, 2021
Consolidated Statement of Shareholders’ Equity Accumulated Deficit Total Shareholders’ Equity
Net loss, as reported $ (680,457) $ (680,457)
Adjustments (1,692) (1,692)
Net loss, as revised $ (682,149) $ (682,149)
Balance, December 31, 2021, as reported $ (736,825) $ 1,083,310 
Adjustments (1,692) (1,692)
Balance, December 31, 2021, as revised $ (738,517) $ 1,081,618 
Consolidated Statement of Cash Flows November 9, 2021 Through December 31, 2021
As Reported Adjustment As Revised
Cash flow from operating activities:
Net loss $ (680,457) $ (1,692) $ (682,149)
Adjustments to reconcile net loss to net cash provided by operating activities:
Deferred income taxes (670) (1,485) (2,155)
Amortization of acquisition related inventory step-up 2,948  3,177  6,125