FORGING AHEAD - Tradewinds Plantation Berhad

34. ACQUISITION OF SUBSIDIARIES (continued)
2009 (continued)
(a) The acquisition had the following effect on the Group’s assets and liabilities on acquisition date:
FINANCIAL STATEMENTS
Fair value
Acquiree’s recognised
carrying on
amount acquisition
RM’000 RM’000
Property, plant and equipment 103 103
Leasehold land 3,313 12,265*
Land held for property development 4,148 87,412*
Other receivables 26 26
Fixed deposit with a licensed bank 1,429 1,429
Cash and bank balances 3,037 3,037
Trade and other payables (7,869) (7,869)
Current tax payable (729) (729)
Deferred tax liabilities - (23,054)
Total net assets 3,458 72,620
Less: Minority interest (21,786)
Group’s share of net assets 50,834
Excess of fair value of net assets acquired over purchase consideration (1,519)
Adjusted purchase consideration discharged by cash 49,315
Less: Cash and cash equivalents acquired (3,037)
Cash out flow on acquisition, net of cash and cash equivalents acquired 46,278
* The fair values of leasehold land and land held for property development were based on valuation performed by
an independent valuer, Hakimi & Associates Sdn. Bhd. on 2 August 2009.
(b) On 26 October 2009, the Company acquired the entire equity interest of Prisma Spektra Sdn. Bhd. (‘PSSB’) for a cash
consideration of RM2. PSSB is an investment holding company.
The assets acquired and liabilities assumed as at the date of acquisition, the effect of the acquisition on the financial
results of the Group and the financial results to the Group if the acquisition had occurred on 1 January 2009 were not
material in relation to the Group’s assets and liabilities and financial results for the previous financial year.
TRADEWINDS PLANTATION BERHAD
Annual Report 2010
195