RSM Bird Cameron predicts ASIC will focus on intangible assets in 2011

January 28, 2011 – RSM Bird Cameron has released its latest Business Acquisition and Impairment Review, which predicts the Australian Securities and Investments Commission’s (ASIC) recognition of intangible assets in a business combination will become a major focus in 2011.

Corporate Finance Director for RSM Bird Cameron, Glyn Yates, said, “As separately identifiable intangible assets are required to be recognised and amortised over their economic useful lives, the accounting treatment of business combinations can have a significant impact on the post acquisition profits of an acquiring entity.

“This can pose a complex challenge for an acquiring company requiring the identification, recognition and measurement of intangible assets previously not recognised in the target’s balance sheet.”

Along with key predictions for 2011, the review offers detailed analysis of acquisition trends in 2009 and 2010 financial years, deal structures, intangibles, purchase price and impairment write-offs. Read more ❯