Quarterly report pursuant to Section 13 or 15(d)

Related Parties

v3.21.2
Related Parties
9 Months Ended
Sep. 30, 2021
Related Party Transactions [Abstract]  
Related Parties
15.
RELATED PARTIES

The Company has had a purchase and sales agreement with the former owners of the original Invictus business (the Sellers) for specific raw materials. During the three and nine months ended September 30, 2021, the Company had raw material purchases of $133 and $563, respectively, from the Sellers as compared to $326 and $1,866 for the

three and nine months ended September 30, 2020, respectively, in the ordinary course of business. Additionally, during the three and nine months ended September 30, 2021, the Company sold raw materials at cost of $2,836 and $6,250, respectively, to the Sellers as compared to $1,795 and $5,490 for the three and nine months ended September 30, 2020, respectively. Sales of raw materials are recorded net as “the agent” since the Company does not have the following: a) primary responsibility for fulfilling the promise to provide the specified good, b) inventory risk before the specified good is transferred to the customer, or c) discretion in establishing the prices for the specified good. This related party transaction is not at arm’s length.

The Sponsor provides board oversight, operational and strategic support, and assistance with business development in return for a quarterly management fee. Total management consulting fees and expenses were $313 and $937 for both the three and nine months ended September 30, 2021 and 2020, respectively, and are presented in other operating expenses in the condensed consolidated statements of operations and comprehensive income.

The Company entered into multiple lease arrangements for real property with the sellers of the Ironman acquisition in 2019 that the Company continued to occupy post-acquisition. The Company paid $294 in rent and related expenses during both the nine months ended September 30, 2021 and 2020 and $98 in rent and related expenses during both the three months ended September 30, 2021 and 2020.