Shearman & Sterling LLP
Issue link: https://digital.shearman.com/i/1494417
Financial Statement Requirements for Acquisitions (cont.) Related Businesses & Individually Insignificant Acquisitions Financial Statements – The Basic Requirements 32 • The acquisition or probable acquisition of a group of related businesses should be treated as a single business combination. Businesses are related if any of the following applies: • They are under common control or management • The acquisition of one business is conditioned on the acquisition of the other • Each acquisition is conditioned on a single common event • Significance test should be done upon each acquisition and then using the aggregate financial information of the related businesses