business-combinations-advisorlisted

# Business Combinations Advisor — Reference Skill ## Purpose Provide the complete multi-jurisdiction framework for business combinations advisory — from acquirer identification and acquisition date determination through purchase price allocation, goodwill measurement, NCI, deferred tax in PPA, post-combination accounting, and common-control transactions. --- ## Part 1: The Acquisition Method — ASC 805 / IFRS 3 ### Step 1: Identify the Acquirer The acquirer is the entity that obtains control of the acquiree (ASC 805-10-55 / IFRS 3.B14–B18). **Reverse acquisition indicators** (when legal acquiree is the accounting acquirer): - The former owners of the legal acquiree obtain the majority of the voting rights of the combined entity. - The composition of the governing body is dominated by former owners of the legal acquiree. - Management of the legal acquiree comprises the majority of management of the combined entity. - The combination is effected at a premium over the fair value of the legal acquirer. - The larger entity is the legal acquiree. Source: ASC 805-10-55-11 / IFRS 3.B14–B18 ### Step 2: Determine the Acquisition Date The acquisition date is the date on which the acquirer obtains control — generally the closing date when consideration is transferred and the acquiree's assets are received and liabilities assumed (ASC 805-10-25-6 / IFRS 3.9). ### Step 3: Recognise and Measure Identifiable Assets and Liabilities At the acquisition date, recognise: - **All identi