The Standard Stance

Analysing Transaction Costs During Initial Public Offerings

The Standard Stance - Analysing Transaction Costs During Initial Public Offerings

The      Accounting Advisory Services (AAS) team at BDO India is pleased to share, 'THE STANDARD STANCE' - An expert insight into key accounting matters. Each monthly issue of the publication spotlights and discusses a key accounting matter noteworthy for organisations to stay ahead in their business journeys.

This issue of THE STANDARD STANCE, ANALYSING TRANSACTION COSTS DURING INITIAL PUBLIC OFFERINGS, delves into the intricacies of accounting for transaction costs during IPOs.

During the IPO process, an entity incurs various costs while issuing its equity instruments. Ind AS 32 ‘Financial Instruments: Presentation’ guides accounting for transaction costs associated with equity transactions. Accounting for transaction costs associated with an IPO requires judgement, particularly when an IPO involves both listing existing shares and issuing new ones. In this publication, we cover the accounting treatment for the costs of an IPO that involves the issuance of new shares and stock market listing.
 

Download


Related Articles

The Standard Stance - Practical Tips on Impairment of Assets_February 2024

The Standard Stance- Software Industry: Decoding Top Challenges in Revenue Recognition_January 2024

The Standard Stance - An expert insight into key accounting matters