SENWES ANNUAL FINANCIAL STATEMENTS 2022
Suidwes IT Solutions 2 ( Pty ) Ltd (" SWITO 2 ") During the 2021 financial year , Africum Ltd acquired the remaining 51 % of SWITO 2 . The investment was previously held as an investment in associate with a 49 % shareholding held by Africum Ltd . This resulted in SWITO 2 being fully owned and consolidated in the Senwes Group . The effective date of the transaction was 30 April 2021 .
Group
Fair value of assets acquired and liabilities assumed : A ….………………....... ( 29 ) Trade and other receivables 1 Current assets , excluding trade and other receivables * Current liabilities * Other loans payable ( 30 ) Consideration paid 1 B …….……………...... * Goodwill 2 C =( B-A )…………… 29 * Amounts are less than R0,5 million
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The acquisition was funded from operating cash flows . 2 Goodwill originated mainly due to the negative net asset value assumed . Refer to note 5 regarding subsequent measurement of goodwill .
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Since the acquisition date , and for the 2021 financial year , no revenue or profit after tax was contributed to the consolidated statement of comprehensive income by SWITO 2 since the acquisition occurred on the last day of the financial year , whereas the revenue contributed by the company for the 12-month accounting period , as though the acquisition had been at the beginning of the 2021 reporting period , would have been R8 million . No profit would have been recorded for the 12-months ended 30 April 2021 .
Other transactions : During the 2021 financial year , Africum Ltd acquired the remaining shareholding in Africum Agripet ( Pty ) Ltd (" Agripet ") ( 40 %) from the non-controlling shareholder . The parties also agreed that simultaneous to and interdependent from the first mentioned transaction , Africum Ltd will sell its shareholding in Supreme Petfood ( Pty ) Ltd (" Supreme Pet ") to the same shareholder . The last mentioned transaction resulted in a disposal of a subsidiary and the derecognition of non-controlling interest of R6 million . The effective date of these transactions was 28 February 2021 .
Africum Ltd also acquired the remaining 1 % and 15 % non-controlling interest in Africum Commodities ( Pty ) Ltd and Network Embedded Technologies ( Pty ) Ltd ( NWET ) respectively , as well as a 2 % non-controlling interest in NviroTek Laboratories ( Pty ) Ltd . The effective date of the transactions was 30 April 2021 .
KLK Landbou Ltd (" KLK ") During the 2021 financial year the board of directors of Carpe Diem Raisins ( Pty ) Ltd ( subsidiary of KLK ) decided to purchase the remaining 37,5 % of the noncontrolling interest of Cool Raisins ( Pty ) Ltd for R17 million , the effective date being 1 March 2020 . KLK exercised the option to purchase a further 30 % shareholding in Carpe Diem Raisins ( Pty ) Ltd from Van der Colff Beleggings ( Pty ) Ltd . The transaction became effective from August 2020 . After the transaction KLK holds 80 % of the Carpe Diem Raisins Group . The transaction resulted in a change in ownership reserve of R7 million being recognised in the statement of changes in equity .
Agri Credit Solutions ( Pty ) Ltd (" ACS ") Senwes as the legal and beneficial owner of its credit division within Senwes Ltd , offering credit and finance solutions to its customers , disposed of its business to a separate legal entity ( Agri Credit Solutions ( Pty ) Ltd , formerly Suidwes Landbou ( Pty ) Ltd ) during the prior financial year . ACS is fully owned by Suidwes Holdings ( Pty ) Ltd ( a fully owned subsidiary of Senwes Ltd ). This was therefore a common control transaction , and excluded from the scope of IFRS 3 . As a result , a book value approach was applied for the transfer of assets and liabilities in exchange for a loan payable to Senwes as well as shares issued . The effective date of this transaction was 1 December 2020 . Refer to note 13 for further details .
The following assets and liabilities were transferred from Senwes to ACS : Company
Property , plant and equipment 1 Trade and other receivables 3,363 Trade and other payables ( 22 ) Other loans payable ( 3,342 )
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Agrifriend Equipment ( Pty ) Ltd (" Agrifriend ")
During the 2021 financial year , the group entered into a transaction where Senwes Equipment ( Pty ) Ltd (" Senwes Equipment "), a fully owned subsidiary of the Senwes Group , transferred its operations and sold its net assets to Agrifriend . Agrifriend is also a fully owned subsidiary within the Senwes Group . The transaction was concluded as an asset-for-share transaction whereby Agrifriend issued shares to Senwes Equipment as consideration for the net assets received . Within the group this constituted a common control transaction and no change in ownership occurred . The transaction was effective on 1 April 2021 .
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