Our services

Appraisal

Securities appraisal

The securities appraisal is required for: 

·         Transactions on their sale and purchase.

·         Contribution of securities to registered capital of another legal entity.

·         Company restructuring (liquidation, consolidation, merger or separation).

·         Determination of the pledge value when loan granting.

·         Inheritance.

·         Trust.

·         Determination of the company actual market value.

·         Assignment of debentures.

·         Resolution of property disputes.

Solutions

  • Appraisal of bonds    
  • Bond is a security issued by an emitter that determines the rights of its holder to payment in favor of such holder of particular (interest) bonuses of their tangible equivalent and its nominal value. All the rights including additional rights of a bondholder are described in the applicable Russian laws.  

    Bond is the most popular type of securities in Russia. The purpose of bond issue is raising funds of the commercial organizations; and for the state, the bond issue is one of the main ways to close the budget gap and to mobilize monetary funds of the country.

    Appraisal of bonds lies in the fact that during the life period of bond its holder shall receive the amount equal to the price at which the holder bought such bond. The peculiarity is that the amount of payments to be received by a bondholder is time-stretched; therefore, all the future money flows must be discounted by the date on which the bond is appraised.  The profitability of the similar financial instruments shall be used as a discount rate.

    Our firm appraises secured bonds, non-secured bonds, revocable bonds, deferred bonds, extensible and constricted bonds, serial bonds and convertible bonds.  

  • Appraisal of promissory notes    
  • For the purpose of fund raising, currently, the Russian companies and banks often use such equities market instrument as a promissory note. In accordance with the Russian Civil Code, transferable promissory note is an object of civil rights bearing hallmarks of a thing and may be subject to sale and purchase, exchange, gift, etc. In other words, at the stage of transfer, a promissory note is used as an asset having definable value.   

    The basis of promissory note appraisal is determination of its value as a financial instrument abling to yield profit for its holder. The main ways to yield profit are receiving of interest or acquisition of promissory note at the price less than its nominal value. Therefore, in the course of appraisal our appraisers analyze promissory note profitability and financial market situation, and determine the confidence level of promisor, payer and other parties liable on the promissory note.

    Promissory note appraisal is a rather complicated issue that requires considering many different factors. 
    Our firm appraises promissory notes (including transfer notes) issued by legal entities and individuals.


  • Appraisal of stocks    
  • The stock value is determined by supply and demand situation on the open securities market.
    The appraisal of stocks is a first step to make your investment reasonable. 

    Fundamental analysis of situation on the stock market allows us to protect investors against errors at the continuous marker price fluctuation conditions.
    Appraisal of the block of stocks can be performed for determination of the market value of ordinary and preferred stocks emitted by open or close joint stock companies.

    In accordance with the Russian laws, a stock or a block of stocks may be used as a subject of various transactions (for instance, sale and purchase transactions). Therefore, they are used as the goods and the specific features of the stocks or the blocks of stocks as the goods can be identified. It is known that almost every item of goods has a tangible physical form. However, stocks and blocks of stocks do not always have material form. For instance, they may exist in a documentary or non-documentary form.  In contrast to conventional goods, a stock or a block of stocks may have limitations with regard to change of ownership. Such limitations are based on the type of joint stock company (open or close joint stock company) and on the type of stocks.

    The selection of appraisal method depends on whether the stock is listed on the stock exchange on not. If the stock subject to appraisal is listed, it is necessary to calculate it weighted average price on the date of appraisal. If the stocks subject to appraisal are not listed, the appraisal procedure will be much more difficult. In such case, the entire company’s business shall be appraised firstly and after that the value equal the block of stock subject to appraisal shall be appraised.