Business Valuation & Transaction Advisory

The demand for business valuation in Hong Kong has been growing steadily over the years along with the growth of the number of listed companies in Hong Kong. Listed company requires business valuation to fulfill the requirements of fair value accounting. Business valuers or appraisers are also appointed in acquisition or disposal transaction to support the board of directors’ decision making and provide formal documentation of the rationale of setting the price of a deal.

Financial Instruments Valuation

Financial instruments can be real or virtual documents representing a legal agreement involving any kind of monetary value. Equity-based financial instruments represent ownership of an asset. Debt-based financial instruments represent a loan made by an investor to the owner of the asset.

Property Plant & Equipment Valuation

Property valuation involves assessment on essential information about the property, such as tenure, location, description of the building of which the property forms part; and the gross floor area, saleable area and general conditions, among other things. Then an assessed value of the subject property, based on the valuer’s opinion and supporting evidence is opined.

Mining Valuation & Technical Advisory

Our team has also abundant experience in working with Chapter 18 EQUITY SECURITIES – MINERAL COMPANIES of the listing rules of HKEx. With regard to Petroleum, those quantities of Petroleum anticipated to be commercially recoverable by the application of development projects to known accumulations from a given date forward under defined conditions.

Private Equity Portfolio Valuation

Private Equity and Portfolio Valuation: IFRS 9 requires an entity to recognise a financial asset or a financial liability in its statement of financial position when it becomes party to the contractual provisions of the instrument.

Biological Asset Valuation

HKAS / IAS 41 Agriculture sets out the accounting for agricultural activity – the transformation of biological assets (living plants and animals) into agricultural produce (harvested product of the entity’s biological assets). The standard generally requires biological assets to be measured at fair value less costs to sell.

Valuation Review

A “valuation reviewer” is a professional valuer engaged to review the work of another valuer. As part of a valuation review, that professional may perform certain valuation procedures and/or provide an opinion of value.

Valuation for Litigation and Tax Compliance

Our valuators have helped clients in business valuation for building a succession plan or dealing with a legal dispute. We offer litigation support services for a range of financial disputes in commercial disputes and matrimonial cases.

Internal Control Review

As the regulatory requirements in the business environment is becoming more stringent, internal control and risk management plays important roles in enhancing transparency of corporates. In the Review of Issuers’ Annual Report Disclosure issued by the Hong Kong Exchange in January 2020, the Listing Division found that all selected issuers engaged external professional parties to review their internal controls to ensure their effectiveness.

Corporate Governance Review

Review of corporate governance in accordance with Appendix 14 of the Hong Kong Main Board Listing Rules / Appendix 15 of the Hong Kong GEM Listing Rules.

ESG Advisory Service

Comprehensive ESG Reporting and Policy Set Up Services By GreenCo.

• IVS compliant valuation
• Financial due diligence
• Compliance of HKFRS 9 Financial Instruments
• Dealing with inquiry from HKEx and SFC for transaction and IPOs
• Smoother communication with auditors and other financial advisers
• Independent valuation report for circular disclosure
• Biological assets
• Purchase price allocation
• Valuation database

• Make informed decision by making reference to our pre-deal valuation analysis
• Impairment assessment
• Reliable valuation result
• Modeling for project finance
• Efficiency enhanced by technology
• International M&As
• SASAC filing
• Mining assets
• Expected credit loss

We offer one-stop valuation solutions to our clients ranging from business enterprises valuation, property valuation, valuation of intangible assets (franchise agreement, trademarks, patents, customer relationship, copyrights, non-compete agreements, goodwill etc.), financial guarantees, employee stock options, convertible bonds, preference shares.

We have proven track records in serving listed companies in Hong Kong, China, Australia, the United States, the United Kingdom, Germany etc. We also served private equity, family fund, project owners in fund raising, state owned enterprises in China, establised private companies, pre-IPO companies, intangible asset owners and assisted in valuation issues in legal disputes. We value crypto assets and tokens as well. We work closely with corporate finance advisors, audit firms and legal firms to deal with regulators in a typical merger and acquisition transaction.

Depending on the purpose of valuaiton, we make reference to Hong Kong and International Accounting Standards and Financial Reporting Standards (HKAS, IAS, HKFRS and IFRS) and also International Valuation Standards published (IVS) by International Valuation Standards Council. In justifying valuation assumptions, we make reference to empirical studies on market  transaction data, historical financial data, economic and industy studies.  In the pricing process, we apply generally accepted pricing models and theory in finance, derivative pricing models and simulations.