FGV Audited Financial Statements 2019

211 01 S E C T I O N NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2019 AUDITED FINANCIAL STATEMENTS 2019 57 SIGNIFICANT RELATED PARTY TRANSACTIONS In addition to related party disclosures mentioned elsewhere in the financial statements, set out below are other significant related party transactions and balances. Federal Land Development Authority (“FELDA”), a significant shareholder of the Company, effectively owns 33.7% (2018: 33.7%) of the issued share capital of the Company. FELDA is a statutory body corporate set up under the Land Development Act 1956, and controlled by the Malaysian Government. The Group considers that, for the purpose of MFRS 124 – “Related Party Disclosures”, FELDA and the Malaysian Government is in the position to exercise significant influence over it. As a result, the Malaysian Government and Malaysian Government controlled bodies (collectively referred to as “government- related entities”) are related parties of the Group and the Company. Apart from the individually significant transactions as disclosed in Notes 29, 46, 47, 48, 57(a), 57(b), 57(c), 57(e) and 57(f) to the financial statements, the Group and the Company have collectively, but not individually, significant transactions with other government-related entities which include but not limited to the following: (i) Purchasing of goods and services, including use of public utilities and amenities (ii) Placing of bank deposits with government-related financial institutions These transactions are conducted in the ordinary course of the Group’s business on terms consistently applied in accordance with the Group’s internal policies and processes. These terms do not depend on whether the counterparties are government- related entities or not. Significant related parties and relationships are summarised as follows: (i) Subsidiaries FGV Plantations (Malaysia) Sdn. Bhd. (“FGVPM”) Felda Holdings Bhd. (“FHB”) FGV Agri Services Sdn. Bhd. (“FASSB”) Felda Engineering Services Sdn. Bhd. (“FESSB”) FGV Kernel Products Sdn. Bhd. (“FKPSB”) FGV Palm Industries Sdn. Bhd. (“FPISB”) FGV Prodata Systems Sdn. Bhd. (“Prodata”) FGV Rubber Industries Sdn. Bhd. (“FRISB”) FGV Security Sdn. Bhd. (“FSSSB”) FGV Fertiliser Sdn. Bhd. (“FGVF”) Felda Travel Sdn. Bhd. (“Felda Travel”) FGV Bulkers Sdn. Bhd. (“FBSB”) FGV Capital Sdn. Bhd. (“FGVC”) FGV Trading Sdn. Bhd. (“FGV Trading”) (ii) Joint ventures FPG Oleochemicals Sdn. Bhd. (“FPG”) FGV Iffco Sdn. Bhd. Group (“FISB Group”) MAPAK Edible Oil Pvt. Ltd. (“MAPAK”) (iii) Associate F.K.W Global Commodities (Private) Limited (“FKW”) (iv) Other related companies Yayasan Felda (Entity controlled by FELDA)