Corporate Finance

Accounting

Valuations

IFRS 3 has had a significant impact on the way we account for acquisitions, requiring the application of the acquisition method for each business combination. A key element of the acquisition method is that it requires recognition and measurement of the identifiable assets acquired, the liabilities assumed and any non-controlling interest in the acquiree. All assets (tangible and intangible) from a merger or acquisition therefore have to be included in the balance sheet of the acquirer at fair value and are depreciated over their useful economic life.

Goodwill has to be allocated to cash generating units, and must be tested for impairment annually. Issues around the risk of impairment and the impact of IFRS 3 on earnings per share calls for specialist valuation services that both understand the specific accounting implications and the wider commercial context in which those financial reporting valuations will apply.

GrowthStone's valuation services draw on considerable technical and financial specialisation available in the valuation team and we are able to access GrowthStone's accounting specialists to deliver integrated advice to our clients.

Corporate

Valuations

Valuing all or part of a business requires understanding and analysis of a variety of complex factors. These include both detailed technical knowledge of value drivers and in-depth industry knowledge. In the event of a merger, acquisition or alliance it is vital to understand the value likely to be created through the transaction.

GrowthStone is a competent team of specialists able to assist clients in various industries in doing company valuations.