Shearman & Sterling LLP
Issue link: https://digital.shearman.com/i/1494417
Financial Statement Requirements for Acquisitions (cont.) Financial Statements – The Basic Requirements 31 Financial Statement Requirements Significance Thresholds Business Acquisition Does not exceed 20% No financial statements required Exceeds 20% but not 40% • Audited Balance Sheet as of the end of the most recent fiscal year • Audited Statements of operations and cash flow for most recent fiscal year • Unaudited interims for most recent interim period and corresponding period in previous year Exceeds 40% • Audited Balance Sheet as of the end of the two most recent fiscal years • Audited Statements of operations and cash flow for the two most recent fiscal years • Unaudited interims for most recent interim period and corresponding period in previous year Significance Thresholds