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 33 • The SEC rules require that when a company acquires two or more individually insignificant businesses since its last audited year end balance sheet it must: • Provide pro forma financial information depicting the aggregate effects of all such acquisitions that together exceed 50% significance • Provide historical financial statements only for those businesses whose individual significance exceeds 20% (but are not yet required to file financial statements)