Valuation advisory services for global respiratory products company

Valuation advisory services for global respiratory products company

After a top 20 private equity firm acquired a global respiratory product manufacturer in a carve-out from a Fortune 500 company, the new management team partnered with Stout to navigate various valuation issues amid a recovery of supply chain challenges resulting from the separation. The scope of our analysis included the completion of a goodwill impairment test for the company and its four in-process research and development (IPR&D) projects, as well as a determination of the company’s equity units for ASC 718 compliance. Additionally, Stout valued a contingent consideration liability utilizing a Monte Carlo analysis in order to derive the fair value of the earnout payments.