2020 UEM Edgenta Annual Report

31. CAPITAL AND OTHER MERGER RESERVE The acquisitions of Opus Group Berhad (“Opus”) and Edgenta PROPEL Berhad in prior years, which was accounted for using the pooling of interest method, gave rise to the following: a. Capital reserve This reserve represents the excess of issue price of the Company’s shares over the par value in accordance with Section 60(4)(a) of the Companies Act, 1965. This reserve had been partially set off against the merger deficit reserve in prior years for the purpose of presentation in the financial statements of the Group. b. Other merger reserve T his reserve represents the excess of fair value of the Company’s shares at the acquisition date over the issue price. This reserve had been fully set off against the merger deficit reserve for the purpose of presentation in the financial statements of the Group. 32. OTHER RESERVES Group RM’000 Put option reserve (Note a) Statutory reserve (Note b) Foreign currency translation reserve (Note c) Other reserve (Note d) Total At 1 January 2019 (2,393) 279 (8,067) 9,163 (1,018) Foreign currency translation – – 1,457 – 1,457 Put option granted to non- controlling interests of a subsidiary 2,976 – – – 2,976 At 31 December 2019 583 279 (6,610) 9,163 3,415 Foreign currency translation – – (192) – (192) Exchange differences reclassified to profit or loss – – (19,130) – (19,130) Put option granted to non- controlling interests of a subsidiary 1,733 – – – 1,733 Settlement of put option granted to non-controlling interests of a subsidiary (2,316) – 150 – (2,166) At 31 December 2020 – 279 (25,782) 9,163 (16,340) UEM EDGENTA BERHAD 276 Financial Statements NOTES TO THE FINANCIAL STATEMENTS For the year ended 31 December 2020