At acquisition moment separate balance sheet of Delhaize at fair value withing

At acquisition moment separate balance sheet of

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At acquisition moment separate balance sheet of Delhaize at fair value withing separate bs Ahold (as asset) New combined business = consolidated bs Ahold Delhaize; this is what we evaluate the business on = functioning of the entity as a whole. But doesn’t mean that is the only thing they report; for legal entity that are part of group; often have obligation that they have to make separate financial statement (Delhaize to Belgium authority). In consolidated statements also find separate statements. From stakeholders perspective the separate fs are more of interest (depends of what you are primarily interested in; different government / regulations).
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Accounting for business combinations – basic principles: IFRS 3 prescribes the acquisition method in accounting for a business combination. The key steps in this method are: 1. Scope = Determine if transaction is a business combi; 2. Identify acquirer (even if it is a true merger of equals, you always have to identify acquirer); 3. Determine acquisition date (considering fact we use fair value it can me a big difference); 4. Recognize and measure the identifiable assets acquired, the liabilities assumed and any non- controlling interest in the acquire; 5. Recognize and measure goodwill or a gain from the bargain purchase.
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