Valuation of assets for international audit
In the process of development and search for new business partners and potential investors, progressive Companies "grow" to having to confirm the statements of international auditing firms.
Also, the requirement of confirmation of statements or amount of the transaction often occurs:
- when entering the international financial markets with the aim of obtaining long-term financing (selling a minority stake on the stock exchange, loans);
- in the transformation of the existing financial reporting requirements under IFRS;
- in the process of mergers/ acquisitions of businesses, especially transnational capital;
- in preparation for large-scale privatization of State Enterprises.
For the banking sector requiring confirmation statements according to the international standards is mandatory from 2015.
The confirmation process often accompanied by a reporting requirement of the accounting balance of the Company's fixed assets, intangible assets (trademarks), acquired a stake in the business, and even inventory (if significant) at their market value.
It is no secret that the book value in many cases very far from the concept of "market" for a number of objective and subjective reasons.
This is especially apparent at the confluence of business, when the transaction amount may be many times greater than the carrying amount of the assets of destiny that is bought. And the Company is faced with a choice: to independently re-evaluation and business modeling of the possible devaluation, or invite a Specialist.
We are ready to simplify the problem of choice, offering quality and professional services for:
- the revaluation of assets (fixed assets, assets, dependents, inventory, WIP, financial interests);
- business modeling for the purpose of impairment testing;
- evaluation of the share in the business through the assessment of an intangible asset arising at the time of purchase;
- accompany the results before you confirm the accounts of the International auditor.
The specialists of "UVECON" able and ready on a high professional level to hold a clarification and to arrange a reassessment, if You are faced with the need:
- the first application of International financial reporting standards;
- switching to the model of regular revaluation of assets to reflect them at fair value under International financial reporting standards;
- correction of the initial value in the case of model selection one-time revaluation of assets;
- recognition of the acquired share of the business for its market value;
- testing the residual carrying value for possible impairment within the framework of International financial reporting standards and in the framework of the Rules (standards) of accounting in Ukraine.
In our work we are guided by the following standards:
- International accounting standards;
- International financial reporting standards;
- Rules (standards) of accounting in Ukraine;
- International valuation standards, in particular, the application of the MSO 300 "Valuation for financial reporting".
Our experts have more than 11 years of experience in the application of the requirements of the specified standards and are ready to work with a Customer to perform an optimum search for the variants of application of a particular rule.
Our experience of the revaluation of financial reporting covers all possible industries, from mining to retail.
"UVECON" is working closely with representatives of the "Big four" International audit and implemented a number of global projects, among which the most large-scale:
- Revaluation and impairment testing of assets of Naftogaz Ukraine, and companies in which its share exceeds 50% (Chornomornaftogas, Ukrnafta, Ukrtatnafta);
- Revaluation and impairment testing of assets of the agricultural sector of the holding company NCH ADVISORS, and others;
- In preparation for corporatization and further privatization, a reassessment of impairment testing of assets, "State Food and Grain Corporation of Ukraine";
- Revaluation of assets in merged under the supervision of the IMF two state banks: CB "UkrGasBank" and Bank "Kyiv";
- In preparation for privatization together with a group of international consultants – the reassessment of impairment testing of assets "Tsentrenergo";
- Revaluation and impairment testing of assets "Odessa portside plant" and other enterprises of petrochemical industry;
- Reassessment of the takeover business for the Corporation "Ukrproduct".
By choosing us as an Expert on valuation for financial reporting, Your Company will receive a reasonable value of the assets that will be recognized by the Auditor/Investor and will help you to achieve your goals.
Head of the valuation of assets for international audit - Humen Viktoriya.