Formal valuations

Having an extensive experience in valuations of businesses and intangible assets, out team is able to offer you highest quality of valuations for formal purposes, such as:

  • tax valuations (company and group restructurings, related party transactions),
  • squeeze-outs of minority interests,
  • settlement of share parity during business combinations,
  • valuation of contributions in kind,
  • purchase price allocation (according to IFRS),
  • impairment tests (according to IFRS)


Example:

A large stock company controlled by a private media group planned to acquire a sister company. Because of the related-party character of the acquisition (the buyer was a subsidiary of the seller), the free-float shareholders required support of the arm’s-length character of the transaction.

Under these circumstances the management of the buyer called for a reputable advisor to issue a fairness opinion, stating that the transaction is entered into on conditions, which would not act to the detriment of the acquirer nor its minority shareholders.

Valuations related to issuance of fairness opinions or side letters, are a regular practice on mature capital markets. In Poland, although not obligatory, they are more and more commonly issued for companies observing corporate governance practices.