The primary goal of valuation activities is to assess the worth, to a client or third party, of a business or selected assets. Our highly experienced specialists work with clients to understand their business aims as well as to agree a framework with which to value the business or assets under consideration. McLellan specialists regularly work alongside client or third party appointed financial and legal advisors to complete a full valuation of businesses or relevant assets.

Our valuation services are provided across a wide range of industry sectors including mining and minerals, iron and steel, non-ferrous metals, manufacturing, power and buildings. Valuation assignments can be conducted as stand-alone projects or parcels of work performed under a wider remit (e.g. feasibility studies, due diligence, mergers and acquisitions, insurance investigations). In carrying out valuations, McLellan considers:

  • The scope of the business or assets to be valued
  • The valuation methodology to be adopted
  • Any specific assumptions to be considered based on the client or third party’s business aims
  • The location, age, condition and completeness of relevant assets
  • A general assessment of the technology and its appropriateness for the intended use
  • Maintenance records, where available

Where applicable, the valuation may also be adjusted based on:

  • Costs to complete works
  • Renovation and restart costs
  • Relocation costs

As part of valuation activities, we may also review, from a technical viewpoint:

  • Raw materials supply agreements
  • Market off-take agreements
  • Equipment supply and Engineering, Procurement and Construction (EPC) contracts
  • Utility supply contracts
  • Operation and management contracts
  • Human resources issues

We typically conduct asset valuations in accordance with the Royal Institution of Chartered Surveyors (RICS) Valuation Standards. Our process for conducting valuations brings together information gathered from technical records and site visits as well as our in-house database to assess the baseline value of the assets under consideration. McLellan’s valuation reports are presented in a structured format culminating in baseline valuations with technical and financial adjustments shown in a clear tabular format. Reports can either be issued as a standalone technical document or as part of a portfolio with legal, commercial and financial documents prepared by other advisors.