How we helped

The company turned to Riveron, whom it had engaged on previous financial reporting and technical accounting initiatives, to support the sale of one of its subsidiaries and to assist with the spinoff of another. Our team began by reviewing and conducting the accounting for the company’s discontinued operations, which meant identifying previously unallocated costs attributable to the targets’ platforms (i.e., equity compensation, receivables backed facility interest, debt interest, and deal/transaction costs). We also assisted with the preparation of pro forma financial statements for the SEC filing. Additionally, our team provided accounting services throughout the duration of the transition services agreement. We led the intercompany clean up by identifying existing intercompany activities and outlining a post-transaction plan; establishing and implementing an intercompany cash settlement process; and determining the accounting impact of previous intercompany transactions associated with new agreements and pricing changes.

Results

The sale, spinoff, and related reporting and audit requirements were successfully carried out in a timely manner in accordance with the strategic plan. Following the transactions, Riveron helped the company and its spinoff to strengthen many internal processes, including financial reporting, accounting, and its intercompany and treasury operations. Ultimately, the company was able to execute on its strategic plans and develop robust internal procedures to lay the groundwork for future success.