Agribel Interim Results 2020/2021 | Page 9

NOTES
1 . SHARES PURCHASED IN SENWES LIMITED Agribel Holdings Limited ’ s shareholding in Senwes increased from 53,50 % to 53,68 % during the year . The net movement in shares held during the period was 948 812 shares .
2 . NEW BUSINESS COMBINATIONS
2.1 Suidwes Holdings ( RF ) ( Pty ) Ltd During the period Senwes acquired a 100 % interest in Suidwes Holdings ( RF ) ( Pty ) Ltd (“ Suidwes ”), which operates as a group of companies in the agricultural sector , with the effective date 31 October 2020 . Suidwes shareholders , who opted not to recieve cash from Senwes for their shares , received Agribel shares in a ratio of one Agribel share for three Suidwes shares . The investment made by Agribel Holdings was then sold to Senwes in exchange for additional shares in Senwes .
Fair value of assets acquired and liabilities assumed :
R ’ m
Book value of Suidwes tangible net asset ( equity ) ( excl . non-controlling interest )
A ….……………..... 164
Share obtained ( control )
B …..………….…...
100 %
Book value of net tangible assets ( equity ) obtained
C ( AxB )…….....
164
Consideration paid
D …….……….…....
113
Bargain purchase
E ( C-D ) ...……
51
The net assets recognised in the 31 October 2020 interim financial statements are based on a preliminary assessment of fair value , while the group finalises fair value measurement of assets acquired and liabilities assumed . Assessment of further separately identifiable assets and / or liabilities is also in progress .
2.2 Hinterland Holdings ( Pty ) Ltd During the period Senwes obtained an additional 50 % interest in Hinterland Holdings ( Pty ) Ltd (“ Hinterland ”), with the effective date 1 October 2020 . This transaction constitutes a business combination achieved in stages ( joint venture to a fully owned subsidiary ) in terms of IFRS 3 .
Fair value of assets acquired and liabilities assumed :
R ’ m
Preliminary fair value of Hinterland`s net tangible assets ( equity ), excl . non-controlling interest
A ….……………..... 80
Share obtained ( control ) B …..………….…... 100 % Fair value of tangible net assets ( equity ) obtained equity ) obtained C ( AxB )……..... 80
Consideration paid ( preliminary fair value of previously held equity interest )
D …….……….….... 80
Bargain purchase E ( C-D ) ...…… -
The net assets recognised in the 31 October 2020 interim financial statements are based on a preliminary assessment of fair value , while the group finalises fair value measurements of assets acquired and liabilities assumed . Assessment of further separately identifiable assets and / or liabilities is also in progress .
3 . DIVIDENDS The board approved an interim dividend of 23 cents per share . Payment of the dividend will take place on 15 December 2020 . The last day of trading is 11 December 2020 . All shareholders registered in the shareholders ’ register as at 11 December 2020 , will qualify for the dividend . Dividend withholding tax of 20 % will be deducted where applicable .
AGRIBEL HOLDINGS INTERIM RESULTS 31 OCTOBER 2020
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