Insights into IFRS 3 | Business Combinations | April 2025

Published on April 15, 2025

Mergers and acquisitions (business combinations) can have a fundamental impact on the acquirer’s operations, resources and strategies.

For most entities, such transactions are infrequent and each one is unique. IFRS 3 Business Combinations contains the requirements for these transactions, which are challenging in practice. The standard itself has been in place for more than 10 years now and has undergone a post-implementation review by the International Accounting Standards Board (IASB).

The Insights into IFRS 3 series summarizes the key areas of the standard, highlighting aspects that are more difficult to interpret and revisiting the most relevant features that could impact your business.

The two new publications in the Insights into IFRS 3 series present guidance on IFRS 3’s requirements for the recognition and measurement of goodwill or a gain arising from a bargain purchase and specific items for which post-combination accounting is required:

• Insights into IFRS 3 – Recognising and measuring goodwill or gain from a bargain purchase;
• Insights into IFRS 3 – Accounting after the acquisition date.