PRG Holdings Berhad Annual Report 2019

PRG HOLDINGS BERHAD 120 NOTES TO THE FINANCIAL STATEMENTS 31 DECEMBER 2019 cont’d 10. INVESTMENTS IN SUBSIDIARIES (continued) (a) Acquisition of subsidiaries (continued) (v) The fair value of the assets acquired and the liabilities assumed from the acquisition of PRGA are as follows: Acquiree’s carrying amount Fair value recognised on acquisition RM’000 RM’000 Property, plant and equipment 36 36 Trade receivables 80 80 Other receivables, deposits and prepayments * * Current tax assets 190 190 Cash and bank balances 5 5 Other payables, deposits and accruals (377) (377) Net identifiable liabilities assumed (66) Add: Goodwill 66 Cash consideration * Less: Cash and cash equivalent of subsidiary acquired (5) Net cash inflow of the Group on acquisition 5 * Amount is less than RM1,000. (b) Incorporation of subsidiary On 28 October 2019, a subsidiary of the Company, DGHL incorporated and subscribed for 10,000 ordinary shares representing 100% equity interest in Rich Day Global Limited, a limited liability company incorporated in British Virgin Islands for a total consideration of USD10,000. (c) Internal reorganisation During the financial year, the Group undertook an internal reorganisation for the following subsidiaries: (i) On 7 November 2019, PRG Asset Sdn. Bhd. (“PRG Asset”) acquired 250,000 ordinary shares representing 100% equity interest in PRG Agro Sdn. Bhd. (“PRG Agro”) from the Company for a consideration of RM250,000. (ii) On 12 November 2019, PRG Asset acquired 250,000 ordinary shares representing 100% equity interest in Premier International Marketing Sdn. Bhd. from PRG Agro for a consideration of RM250,000. (iii) On 12 November 2019, PRG Asset acquired one (1) ordinary share representing 100% equity interest in Premier Food Processing Sdn. Bhd. from PRG Agro for a consideration of RM1.00. (iv) On 12 November 2019, the Company acquired two (2) ordinary shares representing 100% equity interest in Premier Electrify Sdn. Bhd. from PRG Agro for a consideration of RM2.00.