Anuvu Quarterly report pursuant to Section 13 or 15(d)

Quarterly report pursuant to Section 13 or 15(d)

Equity Method Investments

Equity Method Investments

6 Months Ended

Jun. 30, 2019

Equity Method Investments and Joint Ventures [Abstract]

In connection with the Company’s acquisition of Emerging Markets Communications (“EMC”) in July 2016 (the “EMC Acquisition”), the Company acquired 49% of the equity interests in each of EMC’s Wireless Maritime Services, LLC (“WMS”) and Santander Teleport S.L. (“Santander”) joint ventures (which equity interests EMC owned at the time of the EMC Acquisition). These investments are accounted for using the equity method of accounting, under which our results of operations include our share of the income of WMS and Santander in income from equity method investments in our condensed consolidated statements of operations.

Following is the summarized balance sheet information for these equity method investments on an aggregated basis as of June 30, 2019 and December 31, 2018 (in thousands):



	June 30, 2019		December 31, 2018
Current assets	$	44,359	$	40,224
Non-current assets	26,420		26,115
Current liabilities	18,056		15,880
Non-current liabilities	2,453		2,581

Following is the summarized results of operations information for these equity method investments on an aggregated basis for the three and six months ended June 30, 2019 and 2018 (in thousands):



	Three Months Ended June 30,				Six Months Ended June 30,
	2019		2018		2019		2018
Revenue	$	37,548	$	29,068	$	69,589	$	64,905
Net income	8,077		4,200		14,842		10,098

The carrying values of the Company’s equity interests in WMS and Santander as of June 30, 2019 and December 31, 2018 were as follows (in thousands):



	June 30, 2019		December 31, 2018
Carrying value in our equity method investments	$	83,369	$	83,135

As of June 30, 2019, there was an aggregate difference of $57.4 million between the carrying amounts of these investments and the amounts of underlying equity in net assets in these investments. The difference was determined by applying the acquisition method of accounting in connection with the EMC Acquisition and is being amortized ratably over the life of the related acquired intangible assets. The weighted-average life of the intangible assets at the time of the EMC Acquisition in total was 14.9 years.