Tropicana Corporation Berhad Annual Report 2020

26. CASH AND BANK BALANCES (CONT'D.) The interest rates for the deposits with licensed banks range from 1.20% to 3.90% (2019: 2.65% to 4.38%) per annum and the maturities of deposits as at the end of the financial year range from 1 to 366 days (2019: 1 to 365 days). Included in cash at banks of the Group are amounts of RM220,537,000 (2019: RM362,211,000) held pursuant to Section 7A of the Housing Development (Control and Licensing) Act, 1966 and are therefore restricted from use in other operations. Cash and bank balances not available for use of the Group and of the Company are: (i) Deposits of the Group held in trust by a trustee of RM18,264,000 (2019: RM15,965,000) for golf course members' subscription fees. (ii) Deposits of the Group and of the Company amounting to RM3,794,000 (2019: RM17,883,000) and RM860,000 (2019: RM790,000) respectively which are pledged as securities for bank guarantees granted to the Group and to the Company. (iii) Deposits of the Group and of the Company amounting to RM117,449,000 (2019: RM91,026,000) and RM45,534,000 (2019: RM35,038,000) respectively which are pledged as securities for banking facilities granted to the Group and the Company. (iv) Placements of debt service reserve and escrow accounts of the Group and of the Company amounting to RM58,681,000 (2019: RM38,737,000) and RM10,993,000 (2019: RM806,000) respectively which are pledged as securities for term loans granted to the Group and the Company. 27. ASSETS CLASSIFIED AS HELD FOR SALE Group 2020 2019 RM'000 RM'000 At 1 January 75,700 59,100 Transfer from investment properties (Note 17) – 75,700 Disposals (75,700) (59,100) At 31 December – 75,700 The details of the assets classified as held for sale are as follows: (i) On 1 August 2019, Daya Petaling Sdn Bhd, a wholly-owned subsidiary, entered into a sale and purchase agreement to dispose a land with 8-storey commercial building with a basement car park erected on the land known as "Intan Square" in Selangor for a total cash consideration amounting to RM27,500,000. The said disposal has been duly completed during the financial year. (ii) On 20 September 2019, Tropicana Properties (Klang) Sdn Bhd, a wholly-owned subsidiary, entered into a sale and purchase agreement to dispose a land with 10-storey building erected on the land known as "Casa Klang" in Selangor for a total cash consideration amounting to RM30,000,000. The said disposal has been duly completed during the financial year. (iii) On 6 December 2019, Tropicana Sinaran Sdn Bhd (fka Tropicana Properties (Keningau) Sdn Bhd), a wholly-owned subsidiary, entered into a sale and purchase agreement to dispose a land with 2-storey commercial building erected on the land known as "Kelab Rekreasi Keningau" in Sabah for a total cash consideration amounting to RM6,200,000. The said disposal has been duly completed during the financial year. (iv) On 31 December 2019, Tropicana Lido Development Sdn Bhd, a wholly-owned subsidiary, entered into a sale and purchase agreement to dispose 5 parcels of land in Sabah for a total cash consideration amounting to RM12,000,000. The said disposal has been duly completed during the financial year. The freehold and leasehold land with aggregate carrying amounts of RM nil (2019: RM63,700,000) are pledged as securities for bank borrowings as disclosed in Note 32. 28. SHARE CAPITAL AND TREASURY SHARES Number of ordinary shares Amount Share capital (Issued) Share capital Treasury shares 2020 2019 2020 2019 2020 2019 '000 '000 RM'000 RM'000 RM'000 RM'000 Group and Company At 1 January 1,470,425 1,470,417 2,044,322 2,044,314 (13,648) (25,094) Issuance of ordinary shares: - pursuant to warrants exercise – 8 – 8 – – Purchase of treasury shares – – – – (47,063) (26,725) Distribution of treasury shares – – – – 53,829 38,171 At 31 December 1,470,425 1,470,425 2,044,322 2,044,322 (6,882) (13,648) (a) Treasury shares During the financial year, the Company: (i) repurchased 55,991,500 of its issued ordinary shares from the open market at an average price of RM0.84 per share. The shares repurchased are being held as treasury shares in accordance with Section 127 of the Companies Act 2016; and (ii) declared a first interim single-tier share dividend in respect of the financial year ended 31 December 2020 paid by way of distribution of 63,104,998 treasury shares on the basis of 4.5 treasury shares for every 100 existing ordinary shares held in the Company. The treasury shares were repurchased at an average price of RM0.85 per share. As at 31 December 2020, the number of treasury shares held are 8,378,243 ordinary shares. Such treasury shares are held at carrying amount of RM6,882,000 (2019: RM13,648,000). 29. OTHER RESERVES (a) Foreign currency translation reserve The foreign currency translation reserve represents exchange differences arising from the translation of the financial statements of foreign operations whose functional currencies are different from that of presentation currency of the Group. (b) Warrants 2009/2019 reserve On 9 December 2009, the Company had issued 129,812,791 free detachable Warrants 2009/2019. The Warrants are constituted by the Deed Poll dated 28 October 2009. On 18 October 2013, the Company had issued additional 30,894,707 Warrants 2009/2019 pursuant to the adjustment to the Warrants 2009/2019 as a result of the Rights Issue with Bonus Shares. NOTES TO THE FINANCIAL STATEMENTS For the financial year ended 31 December 2020 ANNUAL REPORT 2020 TROPICANA CORPORATION BERHAD FINANCIAL STATEMENTS AND OTHER INFORMATION 252 253