EY valued NSO Group at $2.3bn months before emergency bailout | Financial Times
Big Four firm gave the Pegasus spyware maker a high valuation and called it a ‘market leader’
✒ Private valuations of firms signed off by large professional services firms and not made public are under growing scrutiny.
These valuations often come with a disclaimer indicating that the complicated financial modelling would typically be just desktop valuation — i.e. the estimate of business value would be made without visiting the company or verifying the information / financial forecasts provided.
However, these desktop valuations could have important implications on matters other than deals / transactions / financings (e.g. incentive payouts), thus some might question whether such “reliance on the accuracy and completeness of the underlying information supplied” clause is a sufficient enough caveat.