Acquisition Accounting
In-depth resources on purchase price allocation, accounting for business combinations, and integrating newly acquired entities into group financial statements.
Step Acquisition Accounting: How to Consolidate When an Associate Becomes a Subsidiary
When a group holds an associate stake and acquires enough additional shares to cross the control threshold, the transaction is…
Disposal of a Subsidiary in Group Consolidation: How to Calculate the Gain, Derecognise the Net Assets, and Remove NCI
When a parent loses control of a subsidiary — whether through a full sale, a partial sale that drops below…
Deferred Tax in Group Consolidation: How Consolidation Adjustments Create Tax Differences
The consolidated deferred tax position is not the sum of the entities’ individual deferred tax balances. Group consolidation introduces adjustments…
How to Consolidate a Subsidiary After a Change in Ownership
Two years ago the group acquired a 60% stake in a specialist logistics business. It was consolidated from day one,…
How to Consolidate a New Subsidiary Acquired During the Year
The deal closed on 1 May. The group paid £2.4 million for a 75% stake in a profitable manufacturing business,…
Acquisition Accounting in Group Consolidation: A Step-by-Step Guide to IFRS 3
When one company acquires another, the transaction creates a set of technical accounting requirements that will affect every group consolidation…