Tropicana Corporation Berhad Annual Report 2019

43. SIGNIFICANT EVENTS (CONT’D) The following is a summary of material disposals of properties by the Group’s subsidiaries during the financial year ended 31 December 2019: (cont’d.) (iv) On 21 August 2018, Tropicana Golf & Country Resort Berhad, a wholly-owned subsidiary of the Group, entered into a sale and purchase agreement with One Residence Sdn Bhd, for disposal of a piece of leasehold land measuring approximately 7,143 square metres in Selangor for a total consideration of RM42,287,000. Accordingly, gain on disposal of RM36,828,869 was recognised in the profit or loss upon the fulfilment of conditions precedent on 13 March 2019. (v) On 29 October 2018, Tropicana Harapan Sdn Bhd, a wholly-owned subsidiary of the Group, entered into a sale and purchase agreement with Tropicana Temokin Sdn Bhd, a joint venture company of the Group, for disposal of two parcels of freehold land measuring approximately 2,848 square metres and 8,574 square metres, which located in Selangor for a total consideration of RM31,611,492. Accordingly, gain on disposal of RM7,438,647 was recognised in the profit or loss upon the fulfilment of conditions precedent on 13 March 2019. (vi) On 28 December 2018, Tropicana Coliseum (Ipoh) Sdn Bhd, a wholly-owned subsidiary, entered into a sale and purchase agreement with Iconic Prosperity Sdn Bhd for disposal of a piece of freehold land measuring approximately 5,320 square metres together with a 7-storey commercial building known as “Coliseum Square” in Perak for a total consideration of RM22,800,000. Accordingly, loss on disposal of RM521,895 was recognised in the profit or loss upon the fulfillment of conditions precedent on 30 April 2019. (vii) On 14 May 2019, Tropicana Jaya Sdn Bhd, a wholly-owned subsidiary of the Group, entered into a sale and purchase agreement with Glitter Equity Sdn Bhd, for disposal of a piece of leasehold land measuring approximately 2,845 square metres together with a 6-storey commercial building comprising 4-storey commerical area, 2-storey car park and a basement car park erected on the land in Selangor for a total consideration of RM20,000,000. Accordingly, loss on disposal of RM463,637 was recognised in the profit or loss upon the fulfilment of conditions precedent on 17 October 2019. (viii) On 1 July 2019, Tropicana Wisma TT Sdn Bhd, a wholly-owned subsidiary of the Group, entered into a sale and purchase agreement with PWF Timberhill Sdn Bhd, for disposal of a 7-storey stratified commercial building comprises 4-storey commercial space, 3-storey car park and a basement car park in Selangor for a total consideration of RM25,800,000. Accordingly, loss on disposal of RM2,791,063 was recognised in the profit or loss upon the fulfilment of conditions precedent on 4 November 2019. 44. SUBSEQUENT EVENTS (i) On 10 January 2020, the Company acquired 297 new ordinary shares representing 99% of total paid-up capital of Cenang Laris Sdn Bhd (“ Cenang Laris ”), for a total cash consideration of RM297. Following the completion of the acquisition, Cenang Laris has become a wholly-owned subsidiary of the Company. (ii) On 10 January 2020, the Company acquired 9,900 new ordinary shares representing 99% of total paid-up capital of Valley Talent Solutions Sdn Bhd (“ Valley Talent ”), for a total cash consideration of RM9,900. Following the completion of the acquisition, Valley Talent has become a wholly- owned subsidiary of the Company. (iii) On 3 February 2020, the Company had incorporated a wholly-owned subsidiary, Tropicana Property Services Sdn Bhd with 1 ordinary share which representing 100% of total paid-up capital for a total cash consideration of RM1. (iv) The COVID-19 pandemic has significantly disrupted many business operations around the world. For the Group and the Company, the impact on business operations has not been a direct consequence of the COVID-19 outbreak, but a result of the measures taken by the Government of Malaysia to contain it. As the outbreak continues to evolve, it is challenging to predict the full extent and duration of its impact on business and the economy. The occurrence of the COVID-19 outbreak is not an adjusting post balance sheet event. Up to the date of these financial statements, the Group and the Company have seen the impact of the COVID-19 outbreak on the Group’s and the Company’s revenue, earnings, cash flow and financial condition. At this juncture, it is not possible to estimate the full impact of the outbreak’s short-term and longer-term effects or the Government’s varying efforts to combat the outbreak and support businesses.  pg 247 Tropicana Corporation Berhad Annual Report 2019 Sustainability at Tropicana What We’ve Governed Financial Statements & Other Information