The goodwill is attributable mainly to the synergies expected to be achieved from integrating Integra into the Group’s existing mining operations. None of the goodwill recognised is expected to be deductible for tax purposes.
As long as the cost savings are still there then there should be no reason to write it off.
I expect to see some sort of adjustment to the provisional valuation figures used to value the IGR acquisition. These may be higher due to recent market events but would be surprised to see anything of the magnitude of the value of goodwill.
SLR Price at posting:
73.5¢ Sentiment: Buy Disclosure: Held
