Provided valuation advisory services related to a purchase price allocation

Provided valuation advisory services related to a purchase price allocation

A private equity firm formed a new investment platform through the acquisition of our client. The client is a leading distributor of original equipment and aftermarket automotive products for the transmission and driveline repair market. Stout was engaged to perform an acquisition accounting valuation associated with the acquired assets in compliance with ASC Topic 805 and the private company accounting alternative outlined in ASU No. 2014-18.

The scope of the project included the valuation of certain tangible assets across the company’s various legal entities, including owned real property and personal property. Intangible assets within the scope included various consumer and business-to-business trade names and trademarks, as well as developed technology.

We valued all assets outlined in our scope within management’s timeline, and the client was able to meet its financial reporting requirements. Given the strong relationship established with the client, Stout was subsequently engaged to perform additional valuation services in compliance with ASC Topic 718 related to certain share-based compensation awards that were granted following the initial transaction.