Business development risks

Risks associated with business development such as corporate acquisitions and the Group’s long-term strategic focus. In connection with acquisitions, there is a risk that business risks associated with the acquired companies arise. Establishing operations in new markets may also bring unexpected expenses for Inwido. In addition to company-specific and geographic risks, the acquired company’s relationships with key personnel, customers and suppliers may be adversely affected. There is also a risk that integration processes could take longer than expected, be more costly than anticipated and that expected synergies totally or partially fail to materialize. This may mean that the asset values attributable to the acquisitions (goodwill) cannot be realized and consequently that it may be necessary to recognize impairment in those values.

Body Second

Inwido has developed procedures for the analysis, implementation, review and integration of acquisitions, including due diligence. Risks associated with the Group’s long-term planning are primarily addressed once a year when the Board adopts the Group’s strategic plan.