Valuations can be necessary or desirable in the context of mergers and acquisitions, for fiscal purposes, for external reporting purposes or because the management wants a better understanding of the company’s value. These valuations are almost always required at critical moments: due to an acquisition or sale, in order to resolve disagreements between shareholders or as part of a settlement with the tax authorities. At a time like that, it makes sense to get support from a team of experts with wide-ranging experience of these kinds of valuation issues.

KPMG's Valuations & Modelling team supports management on complex valuation issues in order to facilitate strategic decision-making. We work closely with our clients, but at the same time we are objective and independent in our approach. As valuation experts, we are naturally interested in the technical side, but we will always strive for the most pragmatic approach possible in working out a valuation.

Our valuation experts have in-depth knowledge of your sector, with particular colleagues dedicating themselves to specific sectors including Energy & Natural Resources, Real Estate and Financial Services. Besides support with various valuation issues, the Valuations & Modelling team specialises in setting up robust financial models for strategic business planning, mergers & acquisitions, financing issues, impairment testing and more.

Support with strategic valuations

We offer support in the form of strategic valuations in the following situations:

  • Support with the purchase and sale of businesses and business units
  • ‘Delisting’ a company
  • Mergers between companies
  •  Management buy-outs of some or all of the shares in a company
  •  Accountability to shareholders and other stakeholders (fairness opinions and second opinions)
  • Disputes between shareholders
  • Strategic value management (identifying opportunities for value creation)
  • Valuation for fiscal purposes1

Within KPMG's Deals practice, the Valuations & Modelling team works closely with colleagues at Transaction Services, M&A, Debt Advisory, Separation & Integration and Strategy in order to be able to support our clients in an integrated manner across all facets of the transaction.

1  For example, an independent valuation of intellectual property, complete businesses or particular operational activities, or a valuation to support the financing structure of an international deal. We can also support you in coordinating the valuation with the tax authorities and where necessary we will work closely with our colleagues at KPMG Meijburg.

Valuation for accounting purposes

We offer support in the form of accounting valuations in the following situations:

  •  Purchase price allocations (IFRS 3 and RJ 216)2
  • Impairment testing (IAS 36)
  • Employee options plan (IFRS 2)
  • Determining ‘Incremental Borrowing Rates’ (IFRS 16)
  • Fair value of investments/portfolios (IFRS 13)

In these kinds of valuations, the Valuations & Modelling team works closely with the accounting specialists of KPMG’s Capital Markets Accounting Advisory Services team.

2 Prior to a transaction, a so-called Pre-Purchase Price Allocation can also be carried out in order to gain insight into the impact on the financial statements of the acquiring party.

Developing and evaluating financial models

These days, robust financial models are essential for companies. Having the right financial models enables management to retain a grip on their business and make the right strategic choices. Our modelling practice (PDF 862 KB) has extensive experience of setting up custom-made financial models in order to support you in strategic decision-making, monitoring and planning issues and, for example, valuation and transaction processes. Our services include developing and reviewing models. Our modelling experts have experience of:

  • Valuation models
  • Transaction models
  • Strategic option modelling
  • Impairment test modelling
  • Monitoring & business planning models
  • Tax modelling
  • Model reviews of existing models

Where necessary and relevant, our modellers are supported by ‘subject matter’ experts within the KPMG network. Every model built by our modelling experts is based on thorough preparation, including an analysis of the client need, the required outputs and available inputs. The models themselves are built in accordance with a well established modelling style that ensures that the models are structured, transparent, flexible and easily transferable.

Contact our specialists

Marcel Groenendijk

Partner, Head of Deals
KPMG Netherlands
(020) 656 7822
groenendijk.marcel@kpmg.nl

Sander Mulder

Partner Valuations
KPMG Netherlands
(020) 656 8371
mulder.sander@kpmg.nl