PE firms relying more on third-party valuers

BVWireIssue #195-1
December 5, 2018

M&A valuations
mergers and acquisitions (M&A), private equity

Private equity firms will use more independent valuation experts specializing in portfolio valuation and alternative, illiquid assets for fund-level analyses and financial reporting requirements, according to a report from Valuation Research Corp. Fund managers are choosing between two distinct paths in this partnership: (1) an entirely outsourced portfolio valuation engagement; or (2) positive assurance, says the report. There is an urgency to this, with audit season coming up and the feeling that valuation scrutiny will be a top priority for all auditors.

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