Up to 80% of acquisitions provide value only
to the selling entity. While much of this can
be attributed to poor implementation, it is
crucial that the up-front financial assessment
incorporate the proper accounting and
financial framework. EnergyPath employs a
value-created framework which measures the net
incremental value created by the merger as the
basis for the acquisition price. The net
incremental value arises from the use of one
of the world’s most sophisticated financial
valuation software packages which creates all
the required pro forma financial statements
and financial metrics, including capital
structure.
