Speculation is rife that because the PwC review hasn’t been released it contains bad news.
In fact Quindell have never said they have any intention of making the contents of the review public knowledge.
I have blogged a couple of times that we are unlikely to see the review.
1.Quindell have never said they are going to release the PwC review (see here).
2. Quindell have no intention of issuing review (see here).
If anything is released from the PwC review it will be very high level.
The following are compelling reasons why the review content will not be released.
a) Assuming the deal with Slater and Gordon happens the PwC review will be history, yesterday’s news. Why would anything be issued after the deal announced or after the deal concluded?
b) Would S&G want the PwC review issued when they use aggressive accounting policies?
We can also be reasonably certain of the following:
i) The review content will be known to Quindell and S&G. PwC can not have carried out an investigation for weeks and still not know what’s going on.
ii) The review contains nothing of concern as the market would have been informed.
iii) SGH would not make an offer for the company without knowing the contents of the PwC review. S&G to be still negotiating means they know the review findings.
iv) Detractors will blog negatively about the review not being issued. They would do the same if review issued.
v) Whatever recommendations are contained within the review, regarding accounting policies, we know as KPMG have audited the accounts no major issues have been identified.
Speculation about PwC review is a red herring being used by detractors to further their own aims.