Understanding the cost price components
Purchase Price Allocation specifies how a company processes the purchase price of an acquisition in the financial statements.
After an acquisition of a company, it is desirable for annual reporting purposes, as well as under International Financial Reporting Standards (IFRS-3), that the price paid is allocated to the assets acquired.
Why?
In a PPA, the assets are valued at fair value or market value in view of a continuation of the business activities at the same location as the starting point. Our valuers also know how to deal with deviating situations (e.g. IFRS 5).
The report lists cash generating units and provides transparent insight into the fair value of land, real estate and machinery, plant and equipment. Our starting point is as much as possible evidence based.
Benefits
International
Troostwijk-Roux Expertises is an autonomous organisation that operates completely independently. This means that we look at your interests from an unbiased perspective. Our surveyors are used operating worldwide and to act in a confidential and consultative way. In addition, Troostwijk-Roux Expertises provides customised services and thinks beyond the most obvious solutions.
Multidisciplinary
Our unique quality is that we can literally handle your valuation issue internally in the areas of property as well as machinery and equipment. For both disciplines, Troostwijk-Roux Expertises has (RICS) certified valuers who work together on a daily basis. A business valuation with allocation of fixed asset components is also part of our unique range of services.
Sparring partner
We can assess your purchase price allocation or act as a critical sparring partner.
Our approach
Implementation
After the purpose and reporting format of an assignment have been determined, the implementation period is discussed. For all questions, our client can rely on a coordinator who will act as a spider in the web between all parties involved. With one point of contact, we will relieve you of all your worries.
All industries
We are active in all segments: from industry and SMEs to multinationals and health institutions.
