Restructuring and other legal assignments
The law has defined certain specific contexts in which our involvement is required to ensure the transparency and legality of transactions.
Here are a few examples of operations and transactions that fall into this category:
Contributions in kind and quasi-contributions
When a company receives non-cash contributions (such as real estate, shares in other companies, intellectual property rights, etc.), we act to express an opinion on the valuation agreed by the parties. A similar assignment is provided for when the transfer does not consist of a contribution but a disposal (quasi-contribution).
Stock option plans
When a company implements a stock option plan, we provide an opinion on the value of the underlying shares at the time of the offer and issue a report assessing whether the financial and accounting data contained in the report of the board of directors are fair and sufficient in all material respects to inform the general meeting called to vote on the proposed rights issue.
The decision to convert the legal form is accompanied by a report from a Registered Auditor, which must indicate any overvaluation of the net assets of the entity concerned.
Issuing of new shares
In certain cases, the proposed issuing of new shares must be subject to an auditor’s report assessing whether the financial and accounting data contained in the Board of Directors’ report are fair and sufficient in all material respects to inform the General Meeting called to vote on the proposed issuing of new shares.
Mergers and demergers
When mergers or demergers are envisaged, the role of the Registered Auditor is to draw up a report on the proposed merger or demerger. The Registered Auditor must give an opinion on the relevance and reasonableness of the exchange ratio.
Dissolutions and liquidations
The procedures linked to the liquidation of companies include the involvement of a Registered Auditor to examine the statement summarizing the company’s assets and liabilities underlying the decision to proceed with liquidation.
These examples illustrate the diversity of circumstances in which our involvement is required to ensure legal compliance and transparency of transactions.
Our role is to provide independent assurance and to help protect the interests of the stakeholders involved.
Like statutory auditors, all these assignments are carried out within a very strict regulatory and legal framework.
The law provides for a number of special contexts in which the involvement of a Registered Auditor isrequired.
Depending on the steps foreseen by the legal procedure, we favour a structured approach and a schedule involving the various parties involved.
Our company is fully committed to complying with the strict requirements governing the profession of registered auditors in Belgium, particularly with regard to ethical principles, permanent training, auditing standards, quality standards, etc.