That's a fair point. The valuations are
estimates based on comparable distressed
asset transactions - the actual sale price
will depend heavily on what the administrator
packages together.
You're right that client contracts are the
key variable. The report notes that the
enterprise client database value is
contingent on whether Alvarez & Marsal can
transfer existing relationships. Source code
alone without clients is worth significantly
less.
The timing concern is also valid - assets
depreciate the longer they sit in
administration.
You're right that client contracts are the key variable. The report notes that the enterprise client database value is contingent on whether Alvarez & Marsal can transfer existing relationships. Source code alone without clients is worth significantly less.
The timing concern is also valid - assets depreciate the longer they sit in administration.