Notes to the Financial Statements - Cahaya Mata Sarawak Bhd

126
Notes to the Financial Statements
For the fi nancial year ended 31 December 2011
19. Investments in subsidiaries (contd.)
(a) Increase in paid-up share capital of subsidiary
During the current fi nancial year, the Company has subscribed an additional 12,750,000 ordinary shares
of RM1 each in CMS Property Development Sdn. Bhd. for a total cash consideration of RM12,750,000.
(b) Acquisition of subsidiaries
(i) CMS Roads Sdn. Bhd. and CMS Pavement Tech Sdn. Bhd.
Cahya Mata Sarawak Berhad
During the fi nancial year, the Group acquired 100% equity interest in CMS Roads Sdn. Bhd. and
100% equity interest in CMS Pavement Tech Sdn. Bhd., both incorporated in Malaysia.
The fair values of the identifi able assets and liabilities as at the date of acquisition were:
Recognised
acquisition
values
RM’000
Assets
Property, plant and equipment (Note 13) 13,989
Tax recoverable 555
Amount due from customers on contract 9,888
Trade and other receivables 48,483
Cash and bank balances 57,353
130,268
Liabilities
Trade and other payables (29,351 )
Amount due to customers on contract (763 )
Income tax payable (4,070 )
Deferred tax liabilities (Note 22) (1,866 )
(36,050 )
Fair value of net assets 94,218
Purchase consideration satisfi ed by cash (82,008 )
12,210
Transaction costs paid in cash (786 )
Gain on acquisition (Note 6) 11,424
Total cash outfl ow on acquisition was as follows:
Purchase consideration satisfi ed by cash 82,008
Costs attributable to the acquisition, paid in cash 786
Total cash outfl ow of the Group 82,794
Cash and cash equivalents of subsidiaries acquired (57,353 )
Net cash outfl ow of the Group 25,441
The acquired subsidiaries have contributed the following results to the Group:
2011
RM’000
Revenue 112,140
Profi t net of tax 29,444
If the acquisition had occurred on 1 January 2011, the Group’s profi t net of tax would have been
RM149,574,519.