Intellectual property in consumer brands and company valuations: Implications for mergers

Intellectual property (IP) assets can provide a substantial portion of the value of a company and can have significant impacts on funding, growth and long-term health of that company as well as the market itself. However, there are many different approaches to IP valuation that can drastically change based on the requirements and purposes of the exercise. As an example, IP valuations may look vastly different in a single merger transaction depending on if the valuation is undertaken using standards for reporting to governmental competition authorities, if undertaken by an acquiring entity that is considering the future market value of IP rights after the merger or if undertaken by the entity being acquired. Read more