Financial Modeling - Consolidation of equity accounted associates

Hi guys,

I’m building a financial model for Austbrokers (AUB:ASX), an insurance brokerage and underwriting business that grows primarily through bolt-on acquisition of smaller insurance services practices.

Would anybody know what the correct accounting treatment would be when a company has consolidated previously equity accounted associates?

Is it correct to eliminate the carrying value of these associates at balance date and consolidate the fair value of their assets? Assuming that the aquiring company has not acquired 100% of outstanding shares in the target, we would then recognise the fair value of the minority shareholders’ proportionate share of the fair value of the target?

Are there any Analysts on the forum that presently cover AUB and have any tips for modeling AUB, particularly any revenue forecast methodolgy that is driven by the company’s preferred strategy of growing through acquisitions?

Thanks for your help! : )