Tropicana Corporation Berhad Annual Report 2020

18. INVESTMENTS IN SUBSIDIARIES (CONT'D.) Financial information of subsidiaries that have material non-controlling interests are provided below. The financial information presented below are amounts before inter-company elimination: (i) Summarised statements of financial position TISB TISB TDBSB TDBSB TSDSB TSDSB LWBSB LWBSB 2020 2019 2020 2019 2020 2019 2020 2019 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Non-current assets 1,142,140 1,002,586 383,071 385,651 83,495 83,805 873,329 834,848 Current assets 235,753 279,507 97,847 112,174 977 2,160 50,084 22,327 Non-current liabilities (456,253) (400,436) – (5) – (28,990) (25,140) (37,498) Current liabilities (303,216) (409,059) (13,863) (22,405) (125,845) (90,173) (777,957) (824,909) Net assets/(liabilities) 618,424 472,598 467,055 475,415 (41,373) (33,198) 120,316 (5,232) (ii) Summarised statements of comprehensive income TISB TISB TDBSB TDBSB TSDSB TSDSB LWBSB LWBSB 2020 2019 2020 2019 2020 2019 2020 2019 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Revenue 46,794 109,232 (3,463) (1,269) – – 206,239 97,435 Profit/(loss) net of tax for the financial year 45,190 14,602 (4,359) (3,049) (8,175) (6,038) 125,548 70,197 Profit/(loss) attributable to owners of the parent 31,633 10,221 (2,615) (1,829) (4,905) (2,241) 75,329 45,628 Profit/(loss) attributable to non-controlling interests 13,557 4,381 (1,744) (1,220) (3,270) (3,797) 50,219 24,569 Total comprehensive income/(loss) 45,190 14,602 (4,359) (3,049) (8,175) (6,038) 125,548 70,197 Transactions with non-controlling interests: Dividend paid to non-controlling interest – – – – – – – – Issuance/(redemption) of redeemable preference shares 30,802 9,527 (4,000) (5,200) – – – – (iii) Summarised statements of cash flows TISB TISB TDBSB TDBSB TSDSB TSDSB LWBSB LWBSB 2020 2019 2020 2019 2020 2019 2020 2019 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 RM'000 Net cash (used in)/generated from operating activities (89,776) (256,543) (2,777) (33,570) 82,528 (16,101) 31,745 (19,582) Net cash (used in)/generated from investing activities (2,581) (463) 823 137 – 61,309 – 5 Net cash generated from/(used in) financing activities 82,905 225,100 (4,059) (13,075) (81,980) (45,218) (30,111) 12,460 Net (decrease)/increase in cash and cash equivalents (9,452) (31,906) (6,013) (46,508) 548 (10) 1,634 (7,117) Cash and cash equivalents at beginning of financial year 74,337 106,243 20,161 66,669 278 288 4,318 11,435 Cash and cash equivalents at end of financial year 64,885 74,337 14,148 20,161 826 278 5,952 4,318 18. INVESTMENTS IN SUBSIDIARIES (CONT'D.) (a) Group restructuring During the financial year, the Group and the Company executed and completed an internal Group restructuring scheme involving the following: (i) The Company injected total additional working capital of RM4,395,330 in Tropicana Investment Consulting Pte. Ltd., a wholly-owned subsidiary of the Company. (ii) The Company injected total additional working capital of RM31,000 in Tropicana Business Consulting (Shenzhen) Pte. Ltd., a wholly-owned subsidiary of the Company. (iii) The Company completed the capitalisation of debts amounting to RM153,234,675 owed by several subsidiaries to the Company by way of issuance of Redeemable Non-Cumulative Preference Shares (" RNCPS ") issued by these subsidiaries at an issuance price of RM1 each. (iv) On 10 January 2020, the Company acquired 297 new Ordinary Shares representing 99% of total paid-up capital of Tropicana Laris Sdn Bhd (" TLSB ") (fka Cenang Laris Sdn Bhd), for a total cash consideration of RM297. Following the completion of the acquisition, TLSB has become a wholly-owned subsidiary of the Company. The acquisition has no material effect to the financial statements. (v) 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 (" VTSSB "), for a total cash consideration of RM9,900. Following the completion of the acquisition, VTSSB has become a wholly-owned subsidiary of the Company. The effects of the acquisition to the financial statements are as follow: RM'000 Cash and cash equivalents of subsidiary acquired 41 Less: consideration settled in cash (10) Net cash inflow on acquisition 31 RM'000 Goodwill arising on acquisition: Cash and bank balances 41 Other payables (2,396) Total carrying amount of net identifiable liabilities, representing the fair value of net identifiable liabilities (2,355) Add: Non-controlling interest measured at proportionate share of the acquiree's identifiable net liabilities 24 Group's interest in fair value of net identifiable liabilities (2,331) Goodwill on acquisition 2,341 Total purchase consideration 10 (vi) 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. (vii) On 31 March 2020, the Company has fully redeemed the Redeemable Convertible Unsecured Loan Stocks (" RCULS ") issued by Tropicana Wisma TT Sdn Bhd (" TWTTSB ") for RM3,111,713 by offsetting of amounts owing by the Company to TWTTSB. (viii) On 18 August 2020, the Company subscribed for 5,000,000 of RNCPS issued by Tropicana Corporate Solutions Sdn Bhd at an issuance price of RM1 each for a total cash consideration of RM5,000,000. (ix) On 21 September 2020, the Company had incorporated a wholly-owned subsidiary, Purple Pumkie Organic Farm Sdn Bhd with 1 Ordinary Share representing 100% of total paid-up capital for a total cash consideration of RM1. NOTES TO THE FINANCIAL STATEMENTS For the financial year ended 31 December 2020 ANNUAL REPORT 2020 TROPICANA CORPORATION BERHAD FINANCIAL STATEMENTS AND OTHER INFORMATION 234 235