Are you considering an acquisition, a spinoff, or a sale?
Transactions – such as an acquisition, a spinoff, or a sale of a division – can be complex and they are not isolated incidents. They have a life cycle of their own and your advisors should be with you every step of the way.
KPMG can help you plan and complete acquisition or divestiture transactions, as well as advise on each stage of the transaction life cycle. By remaining involved through the life cycle of the transaction, our teams help you develop appropriate accounting, finance, and tax structures, as well as advise on post-deal and integration strategies in collaboration with other KPMG expert teams as appropriate.
What needs to be considered prior to an acquisition, a spinoff, or a sale?
Buy-side
Can the company implement its strategy organically?
Can the acquisition of a potential target increase the company value?
Sell-side
What is the rationale of the disposal?
Can the company value of the existing portfolio be increased by the sale of parts?
What are your valuation considerations (EBITDA, implied multiples)?
Buy-side
What are the right target markets and companies?
Is the business a stand-alone business or part of a wider group?
What is the value contribution of the target to your existing portfolio?
Sell-side
Which potential buyers do you target (strategic, private equity)?
Is the business a stand-alone business or part of a wider group?
Is a restructuring (carve out) needed prior to the disposal process?
Buy-side and sell-side
Who are the decision makers of the transaction?
Is approval by regulatory or governmental authorities required?
Buy-side and sell-side
Do you have a dedicated M&A team, sufficient know-how or sufficient resources to achieve the optimal transaction outcome?
Buy-side
Are you paying the optimal price for the transaction?
How will the different financial reporting framework of the target affect you?
If the purchase price for the acquisition has complex payout conditions, do you know how to account for the purchase?
How will you integrate the acquired business into your existing financial reporting setup?
Sell-side
Is the financial information available in required quality and in accordance with the required financial reporting framework?
Can the information be carved out in line with the required financial reporting framework?
Can you produce accurate and comprehensive financial information?
Is all information electronically available?
Are you calling the optimal price for the transaction?
Our contribution to your acquisition or disposal project
Accounting Advisory Services in Mergers & Acquisitions
Are you considering acquiring a business or have you decided to sell a subsidiary or part of your business? Find out more about the challenges you might face in this process and how we can help you.
Buy-side
- Advice on impacts of the structuring of the transaction from a financial reporting perspective, and on complex technical accounting positions related to the transaction
- Review and advice on policies of the target and analysis on the differences in accounting policies adopted by the acquirer and the target
- Assistance in the determination of asset valuations, purchase accounting and purchase price allocation (in collaboration with other KPMG expert teams as appropriate)
- Assistance with regulatory filings that include financial statement reporting elements to reflect the transaction, i.e. pro forma financial statements
- Assessment of impact of international reporting on the targets' financial statements
- Assistance with financial reporting on the effects of the acquisition
- Post-deal integration of existing financial reporting processes with that of the target
Sell-side
- Advice on the impacts of structuring of the transaction from a financial reporting perspective
- Assistance in preparing carve-out financial statements
- Assistance with technical accounting issues involving the transaction and the preparation of financial statements, including aid with footnotes, pro forma financial statements, and the management's discussions and analysis
- Help with regulatory filings that include financial statement reporting elements to reflect the transaction, i.e., pro forma financial statements
- Support with reporting for discontinued operations and separation activities related to the controller's function
- Assistance with gain/loss on sale calculations
Pro Forma Financial Information
Is your company considering an IPO or capital increase? We can help you identify whether additional pro forma financial information are required for your prospectus.
Your benefits
- Customized KPMG expert team to address the specifics of your transaction
- Integrated approach including working with tax specialists to provide structuring advice, standalone tax provisions and assessment of tax implications suitable to a transaction
- Involvement of additional expert teams as appropriate: valuations, risk and compliance, accounting advisory, process design and IT teams
- Consistency of KPMG approach globally and wide reach to serve multinational clients
- Early detection of potential transaction accounting and reporting issues and timely resolution
- Experienced and skilled KPMG project managers who help ensure effective communication and adherence to deadlines
Our accounting advisory services for acquisition or disposal projects
End to end accounting for your buy-side transactions
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End to end accounting for your sell-side transactions
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