Accounting for financing arrangements in the life sciences sector

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EY Global IFRS

31 Jul 2017 PDF
Categories Revenue

This publication contains information about IFRS accounting considerations for option-based structures in the life sciences sector.

Financing is fundamental to the life sciences sector, and accounting considerations may affect how a transaction is structured. This publication discusses some of the accounting considerations for a typical option-based structure involving an initial equity investment in an investee and an option to purchase additional shares in the investee.