Private equity and investment

BDO Valuations team has a specific focus on private equity and venture capital investors, for both the portfolio companies and also the needs of the investment funds. We have extensive valuations experience which enables us to assist with providing the independent, robust valuations required as a result of increasing local regulation, as well as satisfying the rigor and transparency demanded by investors and limited partners.

Transactions in portfolio companies will often result in a valuation requirement for private equity companies and investment funds. The replacement of local GAAP with IFRS requires local entities to apply the purchase method of accounting and apportion the value of an acquisition, including determining the fair value of any intangible assets acquired. We are highly experienced in the valuation of intangible assets and will work with the company’s auditors to deliver an appropriate valuation of the assets acquired.

The remuneration of private equity executives can also be complex and valuations of future payments, including carried interest, may be required by the relevant tax jurisdiction. We have expertise in valuing all types of remuneration and incentives for tax purposes and can model proposed remuneration structures and estimate valuation outcomes. For management teams in portfolio companies we prepare valuations of incentive arrangements, including tax approved schemes and growth share arrangements.

We also provide assistance with valuations for commercial or strategic decision making purposes such as

  • Investment appraisals
  • Corporate restructurings
  • Exiting, investing or transferring shareholders
  • Related party transactions
  • Company financing
  • Fairness opinions or pre-pack solutions