What we do
Our Expertise
A firm built for high-stakes assignments: financial valuation, portfolio valuation, transaction services and litigation support.
Valuation
Business valuation
Independent, rigorous valuation of companies across strategic, transactional and tax contexts.
We support companies, investment funds and shareholders in their strategic decisions: acquisitions, disposals, LBOs, fundraising, disputes and family-business transfers. Valuing a business means understanding its operations, its environment and its prospects — an approach that applies to listed and unlisted companies alike.
What we do
- Transaction valuation: offer price and exchange ratio determination, scenario and synergy modelling, support on M&A, LBOs, build-ups and fundraising
- Tax valuation: legal reorganisations, family-business transfers (including the Pacte Dutreil relief), substantiating values before the French tax authorities
- Accounting and regulatory valuation: measuring assets and liabilities in the financial statements, compliance with IFRS and professional standards (CCEF/SFEV, IPEV, SFAF, AMF)
- Strategic valuation: sector and competitive analysis, review of forecast profitability and growth prospects, support for long-term strategic decisions
Our methodology
- Intrinsic methods: adjusted net asset value, discounted cash flow (DCF), adjusted present value
- Market-based methods: trading comparables, comparable transaction benchmarks
- Specific methods: real options (valuing flexibility and growth opportunities), valuation of intangible assets (patents, brands)
- In-depth analysis of the sector and of the strategic positioning
- Discussions with management on operations, markets, strategy and risks
- Financial modelling of growth and profitability prospects
- Determination of the cost of capital and of debt, measurement of return on invested capital
Standards & frameworks
CCEF · SFEV · France Invest · Invest Europe · ILPA · IPEV Guidelines · SFAF · AMF
When we are engaged
- Reorganisation of a group legal structure
- Acquisition or disposal of companies or business lines (build-ups)
- LBO and structuring transactions
- Fundraising (pre- and post-money valuation)
- Contributions, mergers and exchange ratios
- Initial public offerings
- Minority buy-outs
- Business transfers and disposals
Sample assignments
- Exchange ratio between two groups: comparative analysis, business plan modelling, fair value estimate and independent expert support.
- Family-business transfer: estimating the value of the shares and supporting its justification before the French tax authorities (per the 2026 DGFiP valuation guide).
Management package valuation
Independent valuation of financial instruments and management equity packages.
Tailored support for investment funds, executives and law firms in LBOs, fundraisings and strategic transactions. A management package is designed to motivate and retain key executives by aligning their interests with those of investors and sharing the value created.
What we do
- Valuation of financial instruments, from the simplest to the most sophisticated: ordinary and preference shares, convertible bonds, free share awards, BSPCE and BSA warrants, ratchets and carried interest
- Management package valuation: analysis of IRR and multiple conditions, and simulation of payoff profiles
- Transaction advisory: support on structuring and negotiation, determination of parity between instruments, closing assistance
- Post-investment tax monitoring: support during tax and social security audits, simulation of management package unwinds
- Free share awards: the market value of the instruments serves as the reference for calculating the related employer and employee social charges
Our methodology
Valuation methods
- Black-Scholes formula
- Binomial and trinomial models (recombining trees)
- Monte Carlo simulation
- Real options
Our approach
- Robust and transparent approaches throughout
- Analysis of each instrument’s payoff profile as the value of the underlying changes
- Modelling of the constraints specific to LBOs and unlisted companies
- Treatment of volatility, illiquidity and specific clauses (vesting, good and bad leaver) under the applicable framework
Standards & frameworks
IFRS · BOFiP
Instruments covered
- Ordinary or preference shares (subscribed or granted free of charge)
- Options
- Undertakings to sell or purchase
- Share subscription warrants (BSA)
- BSPCE founder warrants (setting the exercise price)
- Carried interest (specific to investment funds)
What is at stake for each party
- In the transaction: ensuring fairness between management and investors
- For the executive: understanding the real value of the instruments received
- For the issuer: measuring the cost and choosing between alternative instruments
Market rates — convertible bonds & intra-group debt
Substantiating arm’s length interest rates on convertible bonds and intra-group debt.
We support investment funds, holding companies and subsidiaries in determining and documenting the market rates applicable to their debt. The French tax authorities require companies to demonstrate that these rates match what an independent party would have obtained in comparable circumstances.
What we do
- Tax substantiation of interest rates: documenting that the rates applied are appropriate, and support during tax audits (article 212 of the French Tax Code, BOFiP, OECD)
- Benchmarking against market practice and comparables accepted by the tax authorities: internal comparables, credit risk rating
- Rate assessment on specific instruments: convertible and plain bonds, intra-group loans in LBO or refinancing structures
- Regulatory compliance and tax certainty: adherence to French and international tax rules, with reasoning built on robust, widely recognised methods
Our methodology
- Rating agency methodologies (Moody’s, S&P): credit risk assessment, implied rating, estimate of the return expected by the market
- Comparables approach: building a panel of similar debt instruments, adjusting for credit rating and subordination, sector and transaction benchmarking
- Market build-up approach: senior lender rates (APR) adjusted for the value of the conversion option, subordination, absence of security and credit spreads (Moody’s, Damodaran)
- Structural approach (Monte Carlo simulation, Merton model): modelling enterprise value in a risk-neutral framework, simulating thousands of default and recovery scenarios, deriving the implied rate consistent with the issue price
Standards & frameworks
Article 212 of the French Tax Code · BOFiP · OECD · The eight practice notes issued by the French tax authorities · Conseil d’État case law
What is at stake
- For the borrower: securing the tax deductibility of interest
- For the lender: documenting the economic and financial consistency of the terms agreed
- For investors: justifying the rates in a transaction context (LBO, refinancing, debt reorganisation)
Factors analysed
- The borrower’s risk profile
- The characteristics of the debt: maturity, subordination, security, convertibility
- Market conditions at the time of the transaction
PPA and impairment testing
Purchase price allocation and impairment testing.
Purchase price allocation is a critical step once control of a company has been acquired: it allocates the price paid across the assets and liabilities acquired, in order to establish the fair value of each identifiable item and limit residual goodwill. Beyond an accounting requirement, it is a strategic exercise that affects your consolidated accounts, your future earnings and your financial communication.
What we do
- Allocation of goodwill following an acquisition
- Pre-PPA studies to anticipate the accounting and tax effects of a transaction
- Valuation of intangible assets (brands, patents, customer relationships) and tangible assets (land, buildings)
- Goodwill impairment testing and monitoring of carrying values in the consolidated accounts
- Impairment testing of investments in subsidiaries in the statutory accounts
Our methodology
- Regulatory compliance: IFRS, US GAAP and French accounting standards
- Economic diagnosis: analysis of each asset’s real contribution to overall value
- Financial measurement: application of the three recognised approaches (income, market, cost)
- A documented report setting out the scope of the allocation (the CGUs concerned), the methods applied, the rationale for the discount rates and the WARA calculation, together with results and sensitivity analyses
- Support in your discussions with the auditors, to secure your accounting positions and ease the sign-off of your accounts
Standards & frameworks
IFRS 3 · IAS 36 · US GAAP · French accounting standards
What is at stake
- Effects on the income statement (amortisation of the assets recognised)
- Effects on the consolidated balance sheet
- Exposure to future impairment
- Monitoring the performance of cash-generating units (CGUs)
Sample assignment
- On a European acquisition, we supported an international group in identifying the principal intangible assets (brands, customer relationships), building the valuation models and determining residual goodwill. The group was able to present reliable consolidated accounts to its statutory auditors.
Funds & Asset Management
Portfolio valuation (AIFMD)
External Valuation Expert — valuation of investment portfolios.
Since the AIFM Directive came into force, our firm has supported asset management companies in valuing their investment portfolios. We act as External Valuation Expert to ensure that valuations are reliable, transparent and compliant within a demanding regulatory framework.
What we do
- Periodic regulatory valuations (AIFMD, AMF, IPEV)
- Independent appraisals: transfers of holdings, secondary transactions, and transactions carrying a conflict of interest risk (co-investments, secondaries)
- Design of valuation policies and good practice aligned with market standards (IPEV, France Invest, AIMA) and with the regulatory framework
- Ongoing support for asset management companies in their dealings with investors, auditors and regulators
Our methodology
- Data gathering and document review: fund regulations, valuation sheets, financial forecasts, sector data
- Critical review of the assumptions and approaches put forward by the management company
- Application of recognised methods: income approaches, market multiples, transaction comparables
- Working sessions with the investment teams to challenge the assumptions
- Issue of an independent, documented opinion on the fair value of the portfolio
- Reports tracking how valuations have moved over time and attesting to our independence, in line with the External Valuation Expert charter
Standards & frameworks
AIFM Directive · AMF · IPEV · France Invest · AIMA · External Valuation Expert charter
Regulatory framework
- AIFM Directive: independent valuation at least annually, documented methods tailored to each asset, and a full audit trail
- IPEV framework: consistency of methods from one valuation to the next, systematic calibration of models against market data, and back-testing at exit to compare the value held against the transaction price
Key objectives
- Establishing fair value at each valuation date
- Ensuring consistency with the market and with comparable transactions
- Guaranteeing a robust documentary trail for the assumptions and inputs used
- Providing enhanced transparency for investors and the regulator
Share valuation — employee savings schemes
Employee savings schemes: valuation methodology for unlisted shares.
Within French employee savings schemes, company investment funds (FCPE) must rely on a robust and independent methodology to value the unlisted shares made available to employees. We provide an objective, documented view that underpins the transparency and the legal certainty of the arrangement.
What we do
- Design of a durable valuation method, applied consistently under the statutory auditor’s supervision and compliant with AMF guidance on employee savings funds
- Initial valuation of the company’s shares when the FCPE valuation formula is first set or subsequently revised (article L.3332-20 of the French Labour Code)
- Ongoing support during the periodic reviews of the formula — at least every five years — required by the regulations
- The independent appraisal provided for by article L.225-209-2 of the French Commercial Code, and determination of the price range for share buy-backs
Our methodology
- Initial valuation of the shares on a multi-criteria basis: financial position, prospects, comparables
- Design of a valuation formula applicable over time, reflecting the methods used in past transactions, the frameworks applied in the consolidated accounts and the specific features of the group (divisions, early-stage activities, investments)
- Compliance check against the French Labour Code (L.3332-20, R.3332-22, R.3332-23) and sign-off by the management company and the statutory auditor
- An independent report setting out the formula chosen and why it is consistent with the value determined
- Procedures performed: review of historical and financial performance, critical analysis of business plans, examination of impairment tests, comparison with existing internal and independent valuations
Standards & frameworks
AMF Position-Recommendation DOC-2012-10 (28 March 2024) · French Labour Code L.3332-20, R.3332-22, R.3332-23 · French Commercial Code L.225-209-2
Valuation criteria
- Net book value
- Profitability and business outlook
- Recent transactions in the share capital
- Impairment tests performed in the consolidated accounts
- Comparison with relevant listed companies and sector transactions
- Adaptation to the business model: mature, cash-generating activities, or early-stage activities requiring scenario analysis
Key objectives
- Ensuring an independent valuation that meets the legal requirements
- Designing a formula that avoids abnormal price volatility
- Securing the durability and credibility of the scheme for employees, auditors and the regulator
Quantus for Funds®
An integrated service offering for asset management companies.
Quantus for Funds® is an integrated service offering dedicated to asset management companies, on either a delegated or an ad hoc basis — from accounting delegation to performance measurement and periodic portfolio valuation.
What we do
- Accounting delegation for private equity funds (direct investment or funds of funds) and investment holding companies: net asset value calculation (waterfalls), preparation of net asset statements, liability-side monitoring of fund units
- Regulatory statistical reporting and support in calculating investment ratios
- Specific transactions: complex distributions, fund mergers and restructurings
- Preparation of annual accounts (French fund accounting standards, IFRS and US GAAP) and management of the relationship with the statutory auditors
- Accounting, tax and HR management for the management company itself: annual accounts and management reporting, payroll and social security and tax filings, tax management
Valuation, performance & modelling
- Periodic portfolio valuation as External Valuation Expert, under the IPEV and AICPA frameworks
- Valuation of asset management companies
- Forward-looking valuation of carried interest and transaction unwinds
- Periodic management reporting under the Invest Europe (formerly EVCA) and ILPA frameworks
- Calculation of IRR, MoM and other standard ratios, and track record presentation
- Detailed portfolio performance analysis and attribution
- Financial modelling: preparation and presentation of the business plan for the regulatory programme of activity, and modelling of investment projects (LBO, VC) and corporate projects (infrastructure, public service concessions)
Standards & frameworks
French fund accounting standards · IFRS · US GAAP · IPEV · AICPA · Invest Europe · ILPA
Transaction Services
Financial due diligence
Financial analysis of acquisitions and disposals — buy-side and vendor.
We support investment funds, companies and their advisers in the financial analysis of acquisitions and disposals, identifying the key issues in the transaction and underpinning the decision. Our work gives the parties an independent, structured and practical reading of the financial information available.
What we do
- Buy-side due diligence: analysis of historical performance and recent trends, review of the quality of earnings and determination of a normalised EBITDA, analysis of cash generation and capital expenditure
- Review of working capital and determination of a normalised level, analysis of net debt and identification of debt-like items
- Critical review of the budget and business plan, and identification of the principal risks and points of attention for the transaction
- Vendor due diligence: independent, documented presentation of financial performance, anticipating buyers’ questions and areas of focus
- Analysis and substantiation of EBITDA adjustments, preparation of net debt and working capital analyses, and validation of the financial data made available
- Support in responding to buyers and their advisers
Our methodology
- Business and performance analysis: understanding the business model and the principal revenue drivers, movements in revenue, margins and costs, and performance by activity, customer, product or geography
- Quality of earnings: reconciliation of management information to the statutory accounts, critical analysis of management’s adjustments, determination of an adjusted and normalised EBITDA, and assessment of how sustainable earnings are
- Quality of debt and working capital: analysis of financial debt and debt-like items, identification of off-balance-sheet commitments and contingent liabilities, and review of seasonality and working capital movements
- Budget and business plan: analysis of how the budget is built and whether it holds together, comparison of historical outturn against previous forecasts, assessment of growth and profitability assumptions, and identification of the main sensitivities
- Transaction support: analysis of price adjustment mechanisms, contractual definitions of net debt and working capital, review of the financial clauses of the SPA, analysis of the reference balance sheet or completion accounts, and support on locked box or completion accounts mechanisms
Our deliverables
- A detailed financial due diligence report
- A summary report focused on the key issues in the transaction
- A presentation of the conclusions to the decision-making bodies or the investment committee
- Further analyses to feed the valuation, the acquisition model or the SPA negotiation
What is at stake for each party
- For the buyer: understanding the real drivers of performance, identifying the risks that could affect value, validating the assumptions in the acquisition model, and having objective grounds on which to negotiate price and terms
- For the seller: controlling the timetable and keeping the disposal process moving, presenting clear and coherent financial information, anticipating the negotiation points, and protecting value by limiting uncertainty and late adjustments
Business succession and exit readiness
Anticipating, preparing and securing a business transfer: readiness diagnostic, valuation and roadmap.
We support owner-managers and shareholders in anticipating, preparing and securing their succession or disposal project, so as to preserve the value of the business and create the conditions for a successful transaction. A business transfer is a defining event whose success depends largely on how early it is prepared: it means reconciling the owner’s personal and estate-planning objectives with the strategic, organisational and financial realities of the business. Our approach is tailored to the size of the company, its sector, its organisation and how far the project has progressed.
What we do
- Transferability diagnostic: clarification of the owner’s objectives and intended timetable, analysis of the business model and its outlook, and identification of dependencies on the owner, on key people, on customers or on suppliers
- Review of the organisation, governance and delegated authorities, assessment of the quality and availability of financial information, and appraisal of the overall maturity of the project
- Identification of the principal legal, tax, employment and estate-planning risks, alongside the relevant specialist advisers
- Business valuation: analysis of historical and forecast performance, adjustment for non-recurring items and determination of a normalised performance, application of methods suited to the activity and the context, and analysis of net debt and other value adjustments
- Determination of a value range and sensitivity analyses, setting value against market conditions and the funding capacity of a prospective buyer
- Financial preparation of the business: structuring of financial reporting and key indicators, analysis of the quality of earnings and of cash generation, review of working capital and its normalised level, critical analysis of the budget and business plan, and anticipation of the questions buyers and their advisers are likely to raise
Our methodology
- Understanding the owner’s project: analysis of motivations, objectives and constraints, identification of the intended timetable, consideration of personal, family and estate-planning issues, and review of the scenarios contemplated — family succession, internal buy-out, sale to a trade buyer or a transaction with a financial investor
- Strategic and organisational diagnostic: positioning of the business and its competitive environment, key success factors and risks bearing on the activity, concentration of the customer and supplier portfolio, dependence on the owner and on key people, and review of the organisation, management, governance and business-continuity arrangements
- Financial diagnostic and valuation: historical performance and normalised profitability, quality of financial information, cash generation, working capital and indebtedness, review of the budget and business plan, and consistency between the value of the business, its outlook and the funding capacity available
- Preparing the transfer: identification of the actions that improve transferability and how the business presents itself, preparation of the financial analyses the process requires, organisation and validation of the available documentation, contribution to the financial data room, identification of the work to be entrusted to legal, tax, estate-planning or employment advisers, and coordination of the various parties alongside the owner
A practical roadmap
- Immediately: clarifying the project, identifying the major risks and collecting the missing information
- Short term: improving reporting, formalising delegated authorities and validating the business plan
- Medium term: strengthening the management team, reducing dependencies and preparing the disposal documentation
- Longer term: adapting governance, organising continuity and preparing for life after the transfer
Our deliverables
- A diagnostic of how well prepared the business is for a transfer
- A maturity matrix setting out the strengths, the points of attention and the priority actions
- A roadmap structured by theme and by time horizon
- A business valuation report
- A financial review ahead of opening the process
- Analyses of performance, net debt, working capital and cash generation
- A summary presentation for the owner, the shareholders or the governance bodies
What our work achieves
- Anticipating the difficulties before the transfer process is launched
- Reducing the dependence of the business on its owner-manager
- Giving buyers and lenders financial information they can rely on
- Identifying the factors liable to affect value or the terms of the transaction
- Prioritising the actions to be taken according to their urgency and their impact
- Protecting the continuity of the business and the interests of the various stakeholders
Disputes & Litigation
Litigation support
Independent financial expertise in disputes and arbitration.
Across all sectors, Quantus Advisory acts in financial, economic and contractual disputes, assisting companies, their directors and their legal advisers. Our experts act for claimants and respondents alike, in court proceedings, in arbitration (ICC, ICSID) and in alternative dispute resolution.
What we do
- Financial and economic disputes: quantification of economic, material and non-material loss, challenges to or interpretation of contractual clauses, and analysis of asset or share valuations (article 1843-4 of the French Civil Code)
- Quantification of price differences in disposals or earn-outs, shareholder disputes (minority exits, price adjustments, shareholders’ agreements), and disputes relating to management packages or the taxation of financial instruments
- Domestic and international arbitration (ICC, ICSID): involvement from the request for arbitration through to hearings and cross-examination, supporting counsel or acting as testifying expert
- Investigation and forensic work: where fraud, abuse or accounting irregularities are suspected, financial and accounting investigations establishing the flows at issue, identifying responsibilities and securing the evidence
- Dispute assistance and settlement: warranty and indemnity claims, earn-out clauses, long-term contracts, shareholders’ agreements, and accounting, tax or employment disputes
Our methodology
- Analysis of the dispute: review of the facts, the contracts and any previous expert reports, and identification of the economic and financial issues
- Selection of the appropriate quantification method, according to the type of loss, the sector and the data available
- Investigation and quantification: collection and analysis of accounting, financial and economic data, simulation of counterfactual scenarios, and quantification of loss under international standards
- Approaches applied: differential (actual versus counterfactual), market comparison, actuarial or DCF, and asset-based or multi-criteria
- Drafting of the expert report: a clear, reasoned presentation tailored to counsel, arbitrators or judges
- Procedural support: liaison with legal counsel, and attendance at hearings, cross-examinations and expert conferencing
Standards & frameworks
AMF · OECD · ICC · ICSID · Article 1843-4 of the French Civil Code
Types of dispute covered
- Abrupt termination of established commercial relationships
- Breach of contract and defective products
- Disposal or transfer of assets
- Fraudulent misrepresentation or concealment in an acquisition
What sets us apart
- Recognised expertise in both financial valuation and dispute work
- A close understanding of the legal and economic issues at play
- A pragmatic approach, balancing analytical rigour with procedural efficiency
- Complete independence — the basis of our credibility before courts and arbitral tribunals
Your assignment does not quite match any of these areas?
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