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Mergers & Acquisitions
- Mergers & Acquisitions
- Leveraged Buyouts

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M&A Purchase Price Allocation - intangibles calculation

I found another point which i woul like to discuss with you. on your merger model (from the c0omplex M&A module), the adjustment with regards to the intangibles must be wrong. The reason being that when i used to model any merger, i did not substrct the target's intangibles. If i did so, then th... Read More

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by Guest 1.

added 11 years ago

RE: M&A Purchase Price Allocation - intangibles calculation

Assuming you are talking about Intangibles and not Goodwill, we subtract the target's intangibles b/c in we are adding Actual + Adjustments to get to Pro Forma. If the target has existing Intangibles, in the purchase price allocation, it is Purchase Price of Equity less Tangible Book Value, so you a... Read More

by WST Expert 1.

added 11 years ago

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