Wah Seong Corporation Berhad Annual Report 2020

136 WAH SEONG CORPORATION BERHAD NOTES TO THE FINANCIAL STATEMENTS FOR THE FINANCIAL YEAR ENDED 31 DECEMBER 2020 9 INVESTMENT IN SUBSIDIARIES (CONTINUED) o On 13 August 2020, Syn Tai Hung Trading Sdn. Bhd. (“STHT”), an indirect wholly-owned subsidiary of the Company, had diluted its 100% equity interest held to 30% by disposing 3,622,990 ordinary shares, representing 70% of equity interest in Spirolite (M) Sendirian Berhad (“Spirolite Malaysia”) for a total cash consideration of RM30,369,000. As a result of the disposal, Spirolite Malaysia and its subsidiaries namely Spirolite Marketing Sdn. Bhd. and Spirolite (Myanmar) Company Limited ceased to be subsidiaries and became associates of STHT and the Company accordingly. Refer to Note 37(b) for further details. n On 30 July 2020, Jutasama Sdn. Bhd. (“JSB”), a wholly-owned subsidiary of the Company, had disposed 1,000 ordinary shares in the issued and paid-up share capital of VI Energy Ltd (“VI Energy”), representing 100% of the equity interest in VI Energy Ltd for a total cash consideration of USD1,000. As a result of the disposal, VI Energy and its subsidiaries namely P.M.T.I Energy (Cambodia) Co., Ltd. and PMT Energy Sdn. Bhd. ceased to be subsidiaries of JSB and the Company accordingly. Refer to Note 37(a) for further details. m On 21 May 2020, Wasco Management Services S.R.L. (“WMS SRL”), an indirect wholly-owned subsidiary of the Company, had at its Shareholder Meeting, approved the resolution to voluntary liquidate and dissolve WMS SRL in accordance with the rules and regulations of the Companies Act in Italy. The liquidation certificate pertaining to the Member’s Voluntary Liquidation of WMS SRL was received on 27 May 2020. As a result, the Group no longer controls the subsidiary and as such it was not consolidated. l On 2 March 2020, Syn Tai Hung Marketing Sdn. Bhd. (“STH Marketing”), an indirect 60% owned subsidiary of the Company, had acquired 80 and 20 ordinary shares, representing 80% and 20% equity interest respectively in the total number of issued and paid-up share capital of STH Edaran Sdn. Bhd. (formerly known as LT Steam Energy Sdn Bhd) (“STH Edaran”) for a total cash consideration of RM100. Upon completion of the acquisition of STH Edaran shares, STH Edaran became an indirect 60% owned subsidiary of the Company, held through STH Marketing. k On 28 November 2019, Wasco Coatings Middle East QFZ LLC (“WC Middle East”) was incorporated in the State of Qatar. WC Middle East has an initial issued and paid-up share capital of QR200,000 divided into 2,000 shares of QR100 each. WC Middle East became an indirect 60% owned subsidiary of the Company, held through Wasco Coatings Limited, an indirect wholly-owned subsidiary of the Company and Medgulf Construction Company W.L.L., with equity interest of 60% and 40% respectively. j On 22 November 2019, Wasco Coatings Europe B.V., an indirect wholly-owned subsidiary of the Company, had disposed of 770,000 ordinary shares in the issued and paid-up share capital of Wasco-PAP Services Ghana Limited (“WPSG”), representing 70% equity interest in WPSG to PAP Energy Limited, the existing shareholder of WPSG, for a total cash consideration of EUR1,000. As a result of the disposal, WPSG ceased to be an indirect subsidiary of the Company. i On 22 October 2019, Wasco Energy De Mexico S.A. DE C.V. (“WEDM”), an indirect wholly-owned subsidiary of the Company, had at its General Extraordinary Shareholders’ Meeting, approved the resolution to voluntary liquidate WEDM in accordance with the rules and regulations of the General Corporations Law of Mexico. As a result, the Group no longer controls the subsidiary and as such it was not consolidated. h On 9 July 2019, WEGL Services India Private Limited (“WEGL Services India”) was incorporated in India. WEGL Services India has an initial issued share capital of INR14,000,000 divided into 1,400,000 equity shares of INR10 each. WEGL Services India became an indirect wholly-owned subsidiary of the Company, held through Wasco Engineering Group Limited and Wasco Engineering International Ltd., both are an indirect wholly-owned subsidiaries of the Company, with equity interest of 99% and 1% respectively. g On 8 July 2019, PMT Energy Sdn. Bhd. (“PMT Energy”), an indirect wholly-owned subsidiary of the Company, had at its Extraordinary General Meeting inter-alia, approved the special resolution to wind up PMT Energy 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.