FGV Annual Report 2016

ANNUAL INTEGRATED REPORT 2016 263 FINANCIAL REPORT NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2016 22 INVESTMENT IN SUBSIDIARIES (CONTINUED) (a) Details of subsidiaries are as follows: (continued) * Not audited by PricewaterhouseCoopers, Malaysia or its affiliates. # Audited by an affiliate of PricewaterhouseCoopers, Malaysia. @ 30% equity stake in Sabahanya Plantations Sdn. Bhd. is held in trust for the beneficial interest of the Group. (b) Acquisition, dilution of interest and closure of subsidiaries during the financial year Note 1 On 14 March 2016, Pontian United Plantations Berhad, a wholly-owned subsidiary, acquired a piece of land owned by Golden Land Berhad and its four wholly-owned subsidiary companies namely Yapidmas Plantation Sdn. Bhd., Sri Kehuma Sdn. Bhd., Ladang Kluang Sdn. Bhd. and Tanah Emas Oil Palm Processing Sdn. Bhd. (together "Yapidmas") for a total purchase consideration of RM655 million. Refer b(i) for the effects of the acquisition of Yapidmas. Note 2 On 7 April 2016, Felda Global Ventures India Sdn. Bhd., a wholly-owned subsidiary, changed its name to FGV Seri Costa Sdn. Bhd. Note 3 On 27 September 2016, Felda Holdings Bhd. ("FHB"), a wholly-owned subsidiary, entered into a shareholder agreement with a third party warehouse operator namely Afico Terminal Services Sdn. Bhd. ("ATS") to jointly manage and operate FGV Logistics Sdn. Bhd. ("FGVL"). The subscription consideration for the share by FHB and ATS were RM16,200,000 and RM1,800,000 respectively. Consequently, FHB's effective interest in FGVL decreased from 100% to 90%. Note 4 On 19 October 2016, an application to strike off EnPlas Ltd, an indirect subsidiary of FGV Cambridge Nanosystems Ltd. was submitted to United Kingdom's Companies House. The First Gazette notice for voluntary strike-off was issued by the Companies House on 17 January 2017, expiring by 16 March 2017. No claim against EnPlas Ltd was made during the gazette period. Note 5 On 8 August 2016, Felda Palm Industries Sdn. Bhd., an indirect subsidiary of the Group, received a capital return sum of RM100,000,000 relating to its 72% interest in Sutrajaya Shipping Sdn. Bhd. ("Sutrajaya") arising from Sutrajaya's liquidation process. As a result of the capital return, the Group derecognises its interest in Sutrajaya and recorded a gain on liquidation of RM25,291,000 during the financial year. Note 6 On 23 December 2016, FHB received a capital return sum RM5,230,000 relating to its 100% interest in Felda Enterprise Sdn. Bhd. ("FESB") arising from FESB's liquidation process. As a result of the capital return, the Group derecognises its interest in FESB during the financial year and recorded a gain on liquidation of RM833,000 during the financial year.