Specialization
Target audience
- Consolideurs
- Contrôleurs de gestion
- Directeurs et contrôleurs financiers
- Experts comptables, Commissaires aux comptes
- Membres du département communication financière
- Responsables financiers, consolidation et comptables
1 day
PPA Training
Prerequisites
No prior knowledge is required
Objectives
◗ Analyze the financial impacts of Purchase Price Allocation (PPA).
◗ Implement the key steps in the PPA development process in accordance with IFRS.
◗ Measure the acquired intangible assets to determine goodwill.
Training program
◗ Acquisition Process: From Identifying the Target to Acquiring It
– Asset deal vs. share deal
– Legal aspects: timeline, setting up the data room, preliminary discussions, signing, and closing
– Why is the price different from the net asset value?
– Different methods for valuing a company and determining net debt
✔ EVALUATE | Quiz: In your opinion… should the effect of taxation on revaluations be taken into account when determining the Revalued Net Assets?
✔ UNDERSTAND | Brainstorming: When determining the DCF of a stand-alone business, should we only consider maintenance investments, or should we include development investments?
✔ UNDERSTAND | Examples of shareholder agreement clauses
◗ Recognition of PPA under IFRS
– Identification of the acquirer
– Determination of the acquisition date
– Fair value of the consideration granted (fixed and variable price, payment method, resolution of pre-existing disputes)
– Identification of assets and liabilities
– How should contingent liabilities and assets be accounted for?
– Criteria for recognizing intangible assets
– Determining goodwill
– What are the impacts on the acquirer’s financial statements?
– Challenges related to identifying intangible assets
✔ APPLY | Case study: Determining goodwill using both methods
✔ APPLY | Case study: The impacts of post-acquisition intangible assets
◗ Valuation methods for intangible assets
– Initial value recognized under the acquisition method
– Intangibles generally recognized under IFRS 3
– The three valuation approaches: market approach, revenue approach, and cost approach
✔ UNDERSTAND | Summary of valuations by category of intangible assets
✔ APPLY | Review of consolidated financial statements
Why choose this course?
Preparing a PPA is mandatory when acquiring a company. It is crucial to fully understand the implications of this process, as the decisions made during this exercise have irreversible impacts on the financial performance of the new consolidated entity. Accurately valuing intangible assets is no easy task, as these assets are very often not recognized on the target company’s balance sheet. By the end of this training, you will have mastered the PPA process as well as the methods for valuing acquired intangible assets.
Teaching and assessment methods
Before the training: Submit your expectations via your online portal 15 days before the training begins and complete a self-assessment of your skills.
Teaching Methods: A variety of methods to cater to different learning styles, encourage active participation, and reinforce learning through experimentation and practice.
Educational materials: presentation materials, reference materials (summary sheets, tables, etc.), and other resources available in your account.
During the training: a mix of theoretical concepts and examples drawn from real-life cases. Participants are given the opportunity to engage in role-playing exercises. Numerous practical exercises allow participants to demonstrate their mastery of the skills as the training progresses.
Monitoring and evaluation: attendance sheet and certificate of completion. Immediate and post-training evaluations conducted using the LearnEval platform.
Price
1 295 € EXCL. TAX
Testimonials
PPA Training
PPA Training
PPA Training
Jonathan C.
Company
Training