Fairness opinion
A fairness opinion assesses whether or not the value or conditions of a business transaction are fair from a financial perspective. Important here is that the agreed price is consistent with the underlying value. As an independent valuation expert, Wingman provides a large number of fairness opinions each year.
Due to increased pressure from investors and regulations, management and supervisory boards are becoming more aware of their responsibilities. A fairness opinion from an independent expert is part of this. In addition to assessing whether the proposed transaction is worthwhile, fairness opinions are also used to limit the risk of legal liability. Fairness opinions are typically commissioned by supervisory boards to assist in the decision-making process in connection with the sale or partial sale of a business.
Fairness opinions can also be useful to determine whether the terms of an acquisition are fair. Particularly when the stakes are high or the transaction affects the continuity of the business, a fairness opinion can provide an important perspective.
Finally, fairness opinions are frequently used to determine whether the value stated by the transaction adviser is fair. Unlike many advisers, Wingman does not charge a success fee and therefore remains unbiased because it does not have an interest in the transaction’s success or failure.