CFGI

What an improved horizon for bank mergers means for CFOs...   With over 4,000 banks in the U.S., the recent move toward less regulation of bank mergers and potential shortened approval timelines could reshape the industry. For Bank CFOs looking to acquire, or be acquired, the changing landscape offers both opportunities and challenges. Here’s what you need to know: 𝟭. 𝗔𝗰𝗰𝗲𝗹𝗲𝗿𝗮𝘁𝗲𝗱 𝗗𝗲𝗮𝗹 𝗧𝗶𝗺𝗲𝗹𝗶𝗻𝗲𝘀 o  𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝘆: Streamlined regulatory processes can fast-track deal approvals, allowing banks to capitalize on opportunities more quickly. o  𝗥𝗶𝘀𝗸: Faster timelines leave less room for thorough financial due diligence, scaling infrastructure to manage risks and shortened timeline to remediate prior regulator comments 𝟮. 𝗦𝗰𝗮𝗹𝗲 𝗶𝘀 𝗡𝗼 𝗟𝗼𝗻𝗴𝗲𝗿 𝗢𝗽𝘁𝗶𝗼𝗻𝗮𝗹 o  𝗖𝗵𝗮𝗹𝗹𝗲𝗻𝗴𝗲: Meeting growing regulatory and technological demands is increasingly difficult for smaller banks without scale. o  𝗔𝗰𝘁𝗶𝗼𝗻: CFOs should assess how M&A can drive economies of scale, improve operational efficiency, and enhance compliance capabilities.  𝟯. 𝗥𝗶𝘀𝗶𝗻𝗴 𝗖𝗼𝗺𝗽𝗲𝘁𝗶𝘁𝗶𝗼𝗻 𝗳𝗼𝗿 𝗠&𝗔 o  𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝘆: More accessible M&A pathways open the door for more banks to pursue transformative growth. o  𝗥𝗶𝘀𝗸: Increased competition for deals can inflate valuations, underscoring the need for robust financial modeling and disciplined bidding strategies. 𝟰. 𝗜𝗻𝘁𝗲𝗴𝗿𝗮𝘁𝗶𝗼𝗻 𝗶𝘀 𝗦𝘁𝗶𝗹𝗹 𝗮 𝗛𝘂𝗿𝗱𝗹𝗲 𝗼  𝗔𝗰𝘁𝗶𝗼𝗻: Regulatory leniency doesn’t reduce the complexity of integrating systems, talent, and cultures. CFOs must prepare for the financial and operational challenges of post-merger integration. o  𝗥𝗶𝘀𝗸: Systems and talent integration present known and unknown challenges to CFOs as they look to transform their department and the future of the bank. 𝟱. 𝗙𝘂𝘁𝘂𝗿𝗲-𝗣𝗿𝗼𝗼𝗳𝗶𝗻𝗴 𝘁𝗵𝗿𝗼𝘂𝗴𝗵 𝗦𝘁𝗿𝗮𝘁𝗲𝗴𝗶𝗰 𝗖𝗮𝗽𝗶𝘁𝗮𝗹 𝗔𝗹𝗹𝗼𝗰𝗮𝘁𝗶𝗼𝗻 o  𝗢𝗽𝗽𝗼𝗿𝘁𝘂𝗻𝗶𝘁𝘆: M&A offers a pathway to achieve scale and diversify product and service offerings. o  𝗔𝗰𝘁𝗶𝗼𝗻: CFOs need to align capital strategies with long-term goals, leveraging acquisitions to strengthen competitive positioning.   At CFGI, we partner with CFOs to navigate this dynamic environment, providing expertise in M&A readiness, financial due diligence, post-merger integration, operational accounting support, risk management support and numerous other needs of the CFO office. For further discussions message Jack Grignano - CFGI Partner and Banking Leader.

After Bed Bath & Beyond's dramatic shift from "going concern" to liquidation, valuation showing different futures, one thing is clear: The premise of your valuation can mean billions in difference. For restructuring advisors and bankruptcy counsel, the choice matters: 🟥 Going Concern Value assumes future earning power 🟥 Orderly Liquidation accounts for market exposure time 🟥 Forced Liquidation reflects immediate asset sales Recent cases prove it: The same company can have vastly different values under each scenario. Advising clients through a #restructuring or distressed situation? DM Sean O'Reilly and Brett Fulesday - they'll be able to answer any questions you may have. #Valuation #Assets #Liquidation #GoingConcernValue

Live from the 𝗔𝗜𝗖𝗣𝗔 & 𝗖𝗜𝗠𝗔 𝗖𝗼𝗻𝗳𝗲𝗿𝗲𝗻𝗰𝗲 today, our CFGI team gathered the most critical insights being talked about:   The message from regulators is clear — financial reporting isn't black and white anymore. Companies need to exercise more judgment and create tailored disclosures. 𝗛𝗲𝗿𝗲'𝘀 𝘄𝗵𝗮𝘁 𝘆𝗼𝘂 𝗻𝗲𝗲𝗱 𝘁𝗼 𝗸𝗻𝗼𝘄: The SEC clarified key changes to 𝘀𝗲𝗴𝗺𝗲𝗻𝘁 𝗿𝗲𝗽𝗼𝗿𝘁𝗶𝗻𝗴, including how companies should handle multiple performance measures in their disclosures. On 𝗰𝘆𝗯𝗲𝗿𝘀𝗲𝗰𝘂𝗿𝗶𝘁𝘆, the SEC provided new guidance on disclosure requirements, covering everything from risk management and governance to how companies should report both material and immaterial cyber incidents. FASB's new 𝗶𝗻𝗰𝗼𝗺𝗲 𝘀𝘁𝗮𝘁𝗲𝗺𝗲𝗻𝘁 𝗱𝗶𝘀𝗮𝗴𝗴𝗿𝗲𝗴𝗮𝘁𝗶𝗼𝗻 𝘀𝘁𝗮𝗻𝗱𝗮𝗿𝗱 is facing implementation challenges. Many stakeholders requested more than two years for transition, highlighting the complexity of the new data requirements. 𝗥𝗲𝗴𝘂𝗹𝗮𝘁𝗼𝗿𝘀 emphasized they need more input from auditors, investors, and controllers to shape meaningful accounting guidance. 𝗦𝘁𝗮𝗻𝗱𝗮𝗿𝗱 𝘀𝗲𝘁𝘁𝗲𝗿𝘀 are prioritizing new guidance for government grants, intangibles, and statement of cash flows. For more on these topics, as well as the conversations at this year’s conference, DM Christopher Brandes, Keri Fessler, CPA, Olga Sodnomova, Dan S., or Trey Roadifer. #SEC #AICPA #FASB #PCAOB #CIMA #DISE #Accounting #FinancialReporting #CFGIInsights #Segments #SegmentReporting #Cybersecurity #IncomeStatementDisaggregation

Gifting or donating stock in a privately held business? It’s smart to call on the expertise of a very specific professional. A qualified appraiser. What is a qualified appraiser? According to a recent U.S. Tax Court case (The opinion in Estate of Scott M. Hoensheid, Deceased, Anne M. Hoensheid, Personal Representative, and Anne M. Hoensheid v. Commissioner of Internal Revenue, T.C. Memo. 2023-34) it’s:   “an individual who — (I) has earned an appraisal designation from a recognized professional appraiser organization or has otherwise met minimum education and experience requirements set forth in regulations prescribed by the Secretary, (II) regularly performs appraisals for which the individual receives compensation, and (III) meets such other requirements as may be prescribed by the Secretary in regulations or other guidance.” For more on this subject, and to find an experienced qualified appraiser, DM Sean O'Reilly and Brett Fulesday.

After GE HealthCare's spin-off and Dell's VMware separation revealed the hidden costs of rushed TSAs, a point emerged:   The "we'll figure it out after closing" approach to transition services isn’t cutting it anymore.   Today's successful carve-outs require: ✅ Pre-close service mapping that catches everything ✅ Clear SLAs that prevent costly disputes ✅ Flexible termination rights that work for both sides ✅ Extension options that protect business continuity We've guided 100+ companies through TSA negotiation and exit. Planning a carve-out? Let's discuss your transition strategy. DM Matthew (Matt) Podowitz.   #CarveOuts #Transition

More than 70 finance leaders gathered in Dallas last week to tackle two critical questions: How to prepare for transactions in 2025, and where AI can actually deliver value in finance operations.   Our capital markets panel, featuring senior investors and CFGI's transaction advisory team, emphasized data quality as the make-or-break factor in due diligence. Key message: Start preparation early, focus on data integrity.   On the tech front, CFGI's Andres Garzon and FloQast's Stefan van Duyvendijk shared a practical framework for AI implementation in finance: assess current processes, identify quick wins, and prioritize based on ROI potential.   CFGI partners with organizations on transaction support, business optimization, and AI integration. Through our partnership with FloQast, a leader in close management software, we're helping finance teams automate core processes and prepare for tomorrow's challenges.   #FinancialTransformation #CapitalMarkets #AI #CFGIInsights

After Adobe's failed $13B Figma acquisition and Reddit's $5B IPO valuation, one thing is becoming clear: The phrase "sold their company for 5X revenue" needs to die. Different situations demand different valuation approaches. Here's why:  ✅ IRS requirements for tax purposes differ from SEC requirements for IPOs  ✅ What works for M&A won't work for shareholder disputes   ✅ Divorce courts look at value differently than venture investors   ✅ Stock compensation needs its own specialized approach   Want to understand the right valuation approach for your situation? Let's talk about your specific needs. DM Brett Fulesday and Sean O'Reilly with your questions.   #LiquidationValue #ConcernValue #BusinessValuation #AssetValuation

We're excited to announce Justin Femmer as CFGI's Chief Revenue Officer (CRO). Justin is a great addition for the future of our business and our clients. Read the full press release below: BOSTON, Mass., Dec. 4, 2024 – CFGI, the leading global independent accounting and business advisory firm, a portfolio company of Carlyle and CVC, proudly announces the appointment of Justin Femmer as Chief Revenue Officer (CRO). A former partner at PwC, Justin brings 18 years of experience in launching and scaling service offerings across domains, including most recently co-leading PwC’s AI commercial strategy. Justin has been instrumental in executing go-to-market strategies in markets across the US and internationally and has worked with many leading companies across industries to drive their operational transformations for growth and innovation. His expertise and collaborative approach make him uniquely positioned to build upon CFGI’s momentum in tech as well as its many other global service offerings. CFGI co-CEOs Shane Caiazzo and Nick Nardone issued the following statement: "We are thrilled to welcome Justin to the CFGI team. His proven leadership and innovative approach will be invaluable as we continue expanding our services and growing across our existing and new markets. Justin’s leadership across diverse domains and his focus on innovation align with our mission to comprehensively serve all the needs of the office of the CFO in a rapidly evolving environment." As CRO, Justin will lead CFGI’s growth initiatives, expand partnerships and alliances, bring a tech and AI focus to operations, and implement forward-thinking strategies to meet its clients' dynamic business challenges. His appointment underscores CFGI’s commitment to leading through innovation and delivering high-value services to companies across industries at all stages of their lifecycle and scale. "I’m honored to join CFGI at such a dynamic time for our clients and the industry," said Justin. "With its world-class acumen serving the CFO suite, adaptable service models, and unmatched private equity backing, CFGI is positioned to thrive and lead the industry into the future. I couldn’t be more impressed with the capabilities and team here, and I can't wait to get to work with them and our clients." About CFGI: CFGI offers tailored solutions to help clients navigate complex challenges and achieve success. With a team of dedicated professionals and strategic partnerships, CFGI delivers expertise across #accounting, #technology, #finance transformation, and #business growth, empowering organizations to reach their goals.

We're seeing more deal teams wrestle with this challenge lately when it comes to carve-outs: They're getting more complex.   TSAs are running longer.   And synergy targets are getting harder to hit.   Thankfully, lately we’ve found some workarounds/solutions:  ✅ Proven separation playbooks    ✅ Accelerated TSA exit strategies    ✅ Day 1 readiness assurance    ✅ Value-preserving execution   If you want to learn more, DM Matthew (Matt) Podowitz and get your questions answered.

When the SEC delayed Intel's Mobileye IPO...   When GE's healthcare spin took an extra quarter...   When Kenvue's carve-out statements needed revision...   The reason was the same: Carve-out financials that didn't meet SEC standards.   Smart CFOs learned these lessons:   🟥 Yesterday's "good enough" allocation methods don't work anymore 🟥 Segment reporting needs bulletproof logic 🟥 Pro forma statements require surgical precision 🟥 Pre-clearance strategies save months We've helped companies keep their deals on track with SEC-ready carve-out financials. Getting your strategy ready? DM Matthew (Matt) Podowitz on how to keep your timeline intact.