…continues to be a challenging area for financial statement preparers. It involves
navigating technically complex accounting standards, and small differences…
…component is initially recognised at its fair value.
It is then amortised over its life using the effective interest
The conversion option may be…
…treated as either equity or as
a financial liability. Its treatment will depend on whether it
meets what is called the “fixed for fixed” test. In order to…
classified as equity, a conversion option must involve a fixed
amount of cash being exchanged for a fixed number of equity
instruments. If it does…
…not meet this test, it will be classified
as a financial liability.
Determining whether the “Fixed for Fixed” requirement is
Assessing whether the…
…instrument. This means that its
value is determined at inception, and it is never subsequently
revalued. Its value is calculated as the residual difference…
…not “fixed for fixed,” it
is treated as a financial liability. Its value at inception is
determined in the same way as for an equity-classified…
…conversion option. However, it is recorded as a financial
liability, not as equity. Under AASB 139 Financial Instruments:
Recognition and Measurement it meets…
…value, it would also be
transferred to equity. No gain or loss is recognised on the
If the conversion option had previously been…
within equity, it must not be revalued, but may be reallocated
at this time. For example, an amount previously recognised
in a separate convertible…
Although more resilient than other sectors, mergers and acquisitions (M&A) volume within the
information technology (IT…
…) sector inally began slowing in 2017, although aggregate deal values
remained historically healthy.
Record-high transaction multiples for IT companies are…
…, accounting for well over
30 percent of all IT M&A volume in the inal quarter of 2017.
New revenue recognition standards contributing to change
…in not only organic growth initiatives but
additional acquisitional growth will continue to power the IT M&A cycle going forward. However, the heights…
nearly three turns higher
than the 2016 figure
TECHNOLOGY: A turning point for PE firms in 2017
PE buyers’ portion of IT is
only growing as of late…
of all IT M&A
New high in IT deal
volume in 2017:
across North America
SAAS IMPACT: Consolidation by PE firms…
…amid key IT segments
Median IT buyouts hit
A CLEAR RECORD
Add-ons as a
portion of all
IT buyouts in
Europe, however, has seen
a steeper slide in the tally of
completed M&A deals in IT;
as purchase prices remain
elevated, deals are simply
…software accounting for the majority of volume still
Since 2016 began, the portion of aggregate IT M&A volume
accounted for by software has yet to decline…
…consequently when necessary acquirers
have more than enough wherewithal to tap lenders to enable
surging transaction prices.
Median M&A size in the IT sector…
…refurbishment projects are likely to be within the new regulation.
It is still unclear as to whether, and to what extent, there will be transitional arrangements…
…and what, if any, impact it will have on
refurbishment projects that have already taken place or will be in progress at the point at which the new…
…regulations take effect.
It is hoped that further guidance will be published accordingly
Bart Ploum RSM Netherlands
Real time invoice reporting
…administrative penalty of up to HUF 500,000 (EUR 1700) per
invoice so it is important that due consideration is given to the new rules.
Companies will need to make…
…function and extending it further to satisfy the new requirement.
Daniel Sztanko, RSM Hungary
Significant changes in VAT to enter into force on 1…
…Government representatives, however, has made it clear that tax reform would move
forward without the BAT.
The statement provided, among other things, a high-…
…permanence, and the return of American jobs and
profits back from overseas.
What this means
Despite the high-level nature of the Republican statement it is…
…clear that it now believes that all of the goals proposed could be
accomplished without the need for a transition to a destination-based tax (such as that…
…consumer’ provides the non-resident
supplier with its Australian Business Number, and declares it is GST-registered, the non-resident supplier can rely upon…
…Australian consumers, it will be
required to register, charge, collect, and remit GST to the Australian Taxation Office.
Where the IICS are made through an…
…internet of things technology. Data security is an everpresent
concern, but eforts to address it appear to be
limited, which has been the trend over the past…
…to acquire a
company or divison.
which should RAISE
PRICES and make it a
27% say IoT
provides an insuicient
return to make it worth
NEW ORDERS, INCREASED REVENUE AND
AN EXPANDING WORKFORCE…
0% 10% 20% 30% 40% 50% 60%
When it comes to sales growth strategies, almost half of
manufacturers are ofering new or improved products…
…, particularly in Germany,
Japan and China. 3
Sectors seeing the most acquisition activity (or planning it)
include building materials, industrial and commercial…
they seek and conduct. Middle market companies
can struggle to manage the priorities of growing
a business, making it more diicult for buyers to…
…planning the integration.
It pays to perform an efective due diligence and/or
synergy analysis, then plan and manage integrations
properly to optimize deal…
their information technology (IT) investments in the coming
months, with just over half planning to invest in IT to enhance
…technology makes them viable
options for middle market companies.
Automation is often presented as a boon for manufacturers
but a risk for workers. Yet it…
…investments, which would be necessary to interpret
the data collected by IoT technology and apply it to make
process and other improvements.
Among sectors using…
…exchange is a reality for German
companies. Germany is a leader in the exportation industry,
it regularly ranked in the top three exporter worldwide.
…of business challenges.
As an investor, it is necessary to have a solid business
foundation to build upon. Good advice is critical throughout
…beginning of any business activity in Germany.
Things to consider
On average it takes only 10 ½ days to establish a business
in Germany. However, the duration…
…varies significantly on
a case-by-case basis.
If a business is started or taken over, it is required to be
registered with the trade office.
…partners, who are directly
involved in the company. In the case of partnerships, it is
possible to become a limited partner, while having more…
…to receive these incentives.
3 GENERAL INFORMATION ABOUT OPERATING IN GERMANY
Germany can provide many outstanding opportunities, it
…natural resources, it has skilled
craftsmen and laborers that are considered to be
Germany’s most desired resources.
The rich variety, apparent in all…
…interpretation of European rights. The
European Court of Justice cannot supersede an individual
states ruling when it related to national matters.
European freedoms. It has become an international leader
in the creation and execution of social policy, foreign policy,
and environmental, and…
…. It has been
established as the main international currency next to the
Market Economy System
Germany’s economic system is a social market…
…that it will choose growth
via lower rates and a cheaper currency, which runs the risk
of causing an increase in capital outflows and further drain
…$3.1 trillion in currency reserves the country says it has.
If the fiscal authority loses control, and the yuan depreciates
at a more rapid pace…
…. Rather, oil-producing economies continue to
increase supply even with cost of the marginal barrel of oil
exceeding the price it fetches in the open market…
…with it the seeds of a return to the beggar-thy-neighbour
policies that were characteristic of the worst portion of
the global Great Depression during…
…in financial year 2016-17, making it the fastest-growing major
economy in the world. Further, India’s other macroeconomic parameters, such as inflation…
…Textiles US$108 billion 100% under automatic route
2 IT and ITES US$146 billion 100% under automatic route
Industrial parks (new and…
…case to case basis,
wherever it is likely to result in access to modern
and ‘state-of-art’ technology in the country)
Single brand product…
…operations, have been removed. It was also
clarified that leasing of immovable property shall be
permissible. However, FDI is not permitted in property
These amendments to India’s FDI policy are meant to
liberalise and simplify the process in order to make it
easier to do business in the country…
…disputes, due to retroactive changes of
law (such as Vodafone for indirect transfer of shares), it is
proposed to permit the settlement of dispute subject to…
Add-ons remain the most popular PE transaction type by far,
even given a signiicant decline in volume between 2016 and
2017; it is worth…
care achieved via sponsor-to-sponsor sales was 37 percent, and
now it is 10 percent higher.
Strategic acquirers still play an important…
…it comes to initial public ofering (IPO) activity, health
care has always beneited from the unique dynamics of the
pharmaceuticals and biotechnology…
…space leading to a steady
trickle of debuts, hence healthcare's sustained volume and a
strong inish to 2017.
It's interesting to note the steady rise in…