Wah Seong Corporation Berhad Annual Report 2017

NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2017 FINANCIAL STATEMENTS WAH SEONG CORPORATION BERHAD ANNUAL REPORT 2017 127 7 INVESTMENT IN SUBSIDIARIES (CONTINUED) s On 21 December 2017, the Company and WSC Capital Sdn Bhd (“WSC Capital”), a direct wholly-owned subsidiary of the Company had disposed of 2,000,001 ordinary shares and 3,000,000 redeemable preference shares of WS Agro Industries Pte Ltd (“WS Agro”), representing 100% equity interest in WS Agro, for a total cash consideration of USD6,000,000. As a result of the disposal, WS Agro ceased to be a wholly-owned subsidiary of the Company. r On 15 December 2017, PMT-Phoenix Industries Sdn. Bhd. (“PMT-Phoenix”), an indirect wholly-owned subsidiary of the Company had at its Extraordinary General Meeting inter-alia, approved the special resolution to wind up PMT-Phoenix by way of Member’s Voluntary Winding Up. As a result, the Group no longer controls the subsidiary and as such it was not consolidated. q On 1 November 2017, Excel Tradition Limited, an indirect wholly-owned subsidiary of the Company, had been struck-off from the Register of the British Virgin Islands Financial Services Commission. As a result, the Group no longer controls the subsidiary and as such it was not consolidated. p On 16 June 2017, a wholly-owned subsidiary of the Company, Wah Seong Management Services Sdn Bhd (“WSMS”) was incorporated in Malaysia pursuant to the Companies Act, 2016 with an initial issued and paid- up share capital of RM1,000 comprising 1,000 ordinary shares with were fully subscribed and paid up by the Company. o On 27 April 2017, Gas Services International (M) Sdn. Bhd. (“GSIM”), an indirect 70% owned subsidiary of the Company, had held its final meeting for the Member’s Voluntary Winding Up. GSIM was fully dissolved after the expiration of three months from the date of lodgement of the Return by Liquidator relating to the Final Meeting with the Companies Commission of Malaysia and Official Receiver. As a result, the Group no longer controls the subsidiary and as such it was not consolidated. n On 7 April 2017, PMT Industries (HK) Limited, an indirectly wholly-owned subsidiary of the Company, was deregistered pursuant to Section 751 of the Companies Ordinance (Cap 622.) in Hong Kong. m On 14 February 2017, Wasco Coatings Germany GmbH (“WC Germany”), an indirect wholly owned subsidiary of the Company, had acquired the entire issued and paid up share capital of 50,000 no par bear shares of EUR1 each, representing 100% equity interest in Wasco Germany AG (“WGAG”) (formely known as mutares Holding-16 AG (“MH-16”)) for a total consideration of EUR19,500,000. WGAG is the sole shareholder of Wasco Coatings Germany (Plant and Equipment) GmbH (“WCGPE”) (formerly known as Eupec Pipeline Services GmbH (“EUPEC Germany”)), with total share capital of Deutsche Mark 50,000. Upon completion of the acquisition of WGAG, bothWGAG andWCGPE became indirect wholly-owned subsidiaries of the Company. On 11 September 2017, WGAG was consolidated into WCGPE, both being the indirect wholly-owned subsidiaries of the Company, as a single entity. As a result, WGAG ceased to be an indirect wholly-owned subsidiary of the Company. l On 17 January 2017, Wasco Coatings Finland Oy (“WC Finland”), an indirect wholly-owned subsidiary of the Company, incorporated a wholly-owned subsidiary in Finland, Wasco Coatings Finland (Plant and Equipment) Oy (“WCFPE”) with an initial issued and paid-up share capital of EUR2,500 divided into 1,000 shares of EUR2.50 each. k On 27 December 2016, WSC Capital (Labuan) Limited (“WSCCL”), an indirect wholly-owned subsidiary of the Company had at its Extraordinary General Meeting inter-alia, approved the special resolution to wind up WSCCL by way of Member’s Voluntary Winding Up. As a result, the Group no longer controls the subsidiary and as such it was not consolidated.