The fair value of the acquiree as a whole is less than the fair value of its identifiable net assets; that is, there is a bargain purchase gain (or so-called negative goodwill; see APB Opinion 16, SFAS 141 and SFAS 141[R]).
In its separate financial statements under pushdown accounting, how should an acquiree with a less-than-100% change in ownership measure its net assets--at fair value, or partly at fair value and partly at book value?
The parent's purchase of an acquiree constitutes an exchange transaction that justifies a new basis of accountability for the acquiree.
The price paid by the new owners when there is a substantial change in ownership is the most relevant basis for measuring assets, liabilities, and results of operations of the acquiree from its owners' perspective.
Krishnan, Miller, and Judge (1997) found that when acquirer and acquiree managers had complementary backgrounds, the top management turnover in the acquired firm was lower.
The yearbook lists any acquisition involving a US entity as either acquirer or acquiree, either inside or outside the US.
Next, we also re-confirmed acquirers' response to this question by evaluating descriptions of acquirer and acquiree from the Merger Yearbook, the source from which we identified our sample.
either acquirer or acquiree in the post-acquisition period), we requested the informant to identify the year in which the executive had left the firm and whether the exit was due to retirement or not.
Although this might be a generally appropriate conclusion, in the case of a western company making an acquisition in eastern Europe these restrictions should be eased for the acquiree, thus facilitating the occurrence of learning processes.
The 'experience' questionnaire: a three-page (plus cover) questionnaire with 11, mainly open, questions relating to the objectives and expectations of acquirer and acquiree, the (subjective) performance of the acquiree, a number of qualitative issues concerning its post-acquisition development, the acquirer - acquiree relationship, and individual as well as collective learning experiences.
The central east European managers involved were in most cases the most senior local managers in the acquiree organization, and often the former Presidents or CEOs of the acquired company before the transaction and subsequent reorganization.
In two cases, both among the Polish sample, there was a substantial industry overlap, but both the acquirer and the acquiree were also involved in one or more industries not included in the portfolio of the other party.
Contingent consideration usually is an obligation of the acquirer to transfer additional assets or equity interests to the former owners or members of an acquiree as part of the exchange for control of the acquiree if specified future events occur or conditions are met.
Recognizing and measuring the identifiable assets acquired, the liabilities assumed, and any noncontrolling interest in the acquiree
The acquirer shall identify the acquisition date, which is the date on which it obtains control of the acquiree.