| Location: |
North America, Mexico, France, Portugal, UK, Germany and Spain |
| Market: |
Corporates & Companies |
| Asset Class: |
Intangibles |
| Challenge: |
Following the acquisition of a number of complementary brands, a leading multinational drinks industry group appointed Intangible Business and GoIndustry DoveBid to value the assets and liabilities acquired for US GAAP and SEC (Securities and Exchange Commission) filing requirements. These assets and liabilities included household name brands as well as land, buildings, inventories, plant and machinery, deferred tax, goodwill and other intangibles, as well as pension liabilities. The assets were located around the world in North America, Mexico, France, Portugal, UK, Germany and Spain. |
| Solution: |
Acquired assets and liabilities for which fair values had to be determined were identified and fair market valuations for all material assets prepared. Intangible Business focused on the intangible assets while GoIndustry DoveBid Valuation Services concentrated on providing valuations on the plant, machinery & equipment assets. We appointed and co-ordinated expert land and property valuers and other specialist advisers as required. The most significant assets valued were brands which required a rigorous benchmarked based valuation methodology to determine the fair values. |
| Result: |
The analysis and fair value assessment of the group's acquired assets and liabilities successfully met the requirements for the customer's 8-K, 10-Q and 10K filings for the SEC. The valuations were readily accepted by both firms of auditors. The models and the methodology for the future annual impairment testing of the values of brands and goodwill were also included in the project deliverable. In addition, commercial opportunities and risks were identified which helped the group to manage them in specific markets. |