Eng - IOI Group

Notes To The Financial Statements cont’d20. SUBSIDIARIES cont’d20.2 Privatisation of IOI Oleochemical Industries Berhad cont’dCash outflow on the privatisationGroupRM’000CompanyRM’000Amount paid for the acquisition of IOI Oleo Shares- IOI Properties Berhad - 125,969- Other minority shareholders 420,861 420,861420,861 546,830Add: incidental expenses 555 555421,416 547,385Analysis of share of net assets acquired and considerationGroupRM’000Cash outflow on the privatisation 421,41630,120,634 IOI Share of RM0.50 each issued at RM10.82 325,905Total consideration paid 747,321Less: share of net assets acquired (463,588)Difference between share of net assets acquired and consideration paid 283,733The privatisation of IOI Oleo was treated as equity transaction between the Group and the minority shareholders as explainedin the Group’s Significant Accounting Policy Note 5.1.1. The difference between the Group’s share of net assets acquiredand total consideration paid was adjusted against retained earnings.20.3 Amounts due from and to subsidiariesThe amounts due from and to subsidiaries represent outstanding amounts arising from inter-company sales and purchases,advances and payments made on behalf of or by subsidiaries. These amounts are unsecured, bear interest at rates rangingfrom 0% to 7.75% (2006 - 0% to 7.8%) per annum. Except for the non-current portion, the amounts due from and tosubsidiaries have no fixed terms of repayment.IOI Corporation BerhadANNUAL REPORT 2007 182