Maximising the value created to the shareholders/stakeholders, the company identifies its main goal and organises its strategies, processes, analysis techniques as well as internal culture.
Valuation & Strategy is considered to be one of PwC’s leading practices, thanks to its deep professionalism and worldwide experience. Technical and valuation skills, professionalism and independence represent the strengths of our network in this business area.
Leveraging from our worldwide network, the Valuation & strategy team possesses broad sector competences, profound knowledge of the local and global market dynamics, technical and professional skills.
Our Valuation & strategy team is able to offer professional assistance:
- in identifying economic value of companies, divisions, industrial projects and intangible assets;
- in evaluating processes within the context of extraordinary operations;
- in defining and implementing management systems oriented towards value creation for the shareholders.
Potential issues
- You are planning an extraordinary operation, a reorganisation or an industrial project and you want to estimate the impacts on your firm value.
- You want to transfer assets within the organisation in the context of a restructuring process and need to understand the value.
- You are conducting or you have already conducted an acquisition and you need to allocate the purchase price (Purchase Price Allocation or PPA) in accordance with the International Financial Reporting Standards (IFRS).
- You need to evaluate your intangible assets (e.g. brands, goodwill, intellectual property) for tax purposes or reporting requirements (IFRS).
- You have insufficient in-house valuation expertise or resources.
Our services include
Our Valuation & strategy team aims at helping our clients in identifying economic value of companies, divisions, industrial projects and intangible assets:
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in valuations carried out in companies with laws (expert valuation opinion, fairness opinion, etc.); |
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in providing assistance to management and other administration bodies in valuations carried out voluntarily in terms of extraordinary finance operations; |
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in supporting the economic values already defined (fairness opinion) in context of extraordinary operations. |
The International Financial Reporting Standards (IFRS) - particularly those related to Business combination (IFRS 3), to Intangible assets (IAS 38) and to Impairment test of assets (IAS 36) - request from companies a solid understanding of such rules and new competences in the valuation process.
Our Valuation & strategy team assists companies during different phases of the Purchase price allocation process:
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comprehension of transactions and determination of the acquisition price; |
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identification and valuation of assets and liabilities (in particular intangible assets); |
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determination of the residual goodwill and assistance on related impairment procedures. |
Over the past years, the Valuation & strategy team has broadened competencies related to intangible assets and can provide professional assistance both in identification of such assets (also due to sector and business competences) and in applying the most appropriate valuation techniques.
The Valuation & strategy team brings about its professional comptencies in setting and verifying impairment processes (IAS 36) related to goodwill and intangible assets.
Our Valuation & strategy team provides its clients with a range of services related to the creation of multiple-year business plan for different purposes (extraordinary operations, project analysis, etc.). Our assistance includes:
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creation of business plan: assistance and support to clients and the management of activities aimed at defining the strategic objectives and in elaborating correlated economic and financial aspects; |
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business plan review: analysis of appropriateness, reasonableness and sustainability of both the hypothesis underlying the plan and the evolution of financial and economic items in terms of both the consulting field and in the context of extraordinary operations (in particular, the processes of an IPO). |
The PwC Valuation & strategy team has studied on an international level a management approach named Shareholder Value Management (SVM) oriented towards shareholder value creation. SVM is an instrument intended for the measurement and management of companies' performance, which is useful for both listed and unlisted entities.
SVM allows the companies to create value throughout connecting strategic and operational decisions (resource allocation, performance management, retribution system, value communication).
How we can support you
- Identifying economic value of business, divisions, industrial projects and intangibles.
- Supporting administration bodies in valuation analysis in the context of extraordinary operations or in providing a fairness opinion.
- Providing valuations in compliance with laws (expert valuation opinion, fairness opinions, etc.).
- Providing an extensive experience of addressing valuation issues under IFRS (Purchase Price Allocation or impairment of assets).
- Supporting the preparation of and reviewing the business plan.
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