Company: PAX
Filing Date: 2025-05-15
Form Type: 20-F
Source: 0001628280-25-025640
Chunk: 345

Company: Patria Investments Ltd
Filing Date: 2025-05-15
Form: 20-F
Item: Item 19
Chunk 345
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 Level 3 to Level 2 fair value measurement

As of December 31, 2024, the long-term investment - KMP Growth Fund II was transferred from Level 3 to Level 2. The valuation methodology changed from the previously used discounted cash flow to adjust the valuation to be in line with the capital account statements received from the fund administrator. The level 2 allocation is consistent with the level allocation of other long-term investments held by the Group.

There were no transfers between Levels 1, 2 and 3 for fair value measurements during year ended December 31, 2023.

Unobservable inputs

The following analysis illustrates valuation techniques, unobservable inputs used to value Level 3 financial instruments and the sensitivity to reasonable changes in the most significant underlying variables used in measurement.

  Description                                                                                                 Note        Valuation technique         Unobservable inputs                   Range of unobservable inputs                              Sensitivity           Financial impact*  
 ───────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────────
  Other financial instruments               Tria call option                                                  21 (c)      Monte Carlo simulation      Average EBITDA                        Risk neutral EBITDA with Standard deviation of 38.8%      10% change            US$ 0.1 million    
  Consideration payable on acquisition      Contingent consideration payable on acquisition – Kamaroopin      21 (b)      Discounted cash flow        Discount rate                         16.2%                                                     100 basis points      US$ 0.1 million    
  Consideration payable on acquisition      Contingent consideration payable on acquisition – GPMS            21 (b)      Discounted cash flow        Discount rate                         4.9%                                                      100 basis points      US$ 0.1 million    
  Consideration payable on acquisition      Contingent consideration payable on acquisition – Nexus           21 (b)      Discounted cash flow        Discount rate                         6.8%                                                      100 basis points      US$ 0.1 million    
  Other financial instruments               Warrant liability                                                 12 (c)      Monte Carlo simulation      Business combination probability      1.0% to 10.0%                                             1.0%                  US$ 1.0 million    

  Patria Investments Limited      F-76  

  Table of Contents  

  Notes to the consolidated financial statements                                             
  As of December