Eng - IOI Group

34 ACQUISITION OF SUBSIDIARIES cont’d34.4 Tanda Bestari Development Sdn BhdOn 19 September 2002, a subsidiary of the Company, Cahaya Kota Development Sdn Bhd acquired the entireissued and paid-up share capital of Tanda Bestari Development Sdn Bhd (“Tanda Bestari”) for a total cashconsideration of RM10,226,000.Details of fair value of the net assets acquired and cash outflow on acquisition of subsidiary are as follows:In RM’000Land held for development 10,226Net current liabilities (21)Other long term liabilities (1,503)Net assets acquired 8,702Goodwill on consolidation 1,52410,226Purchase consideration discharged by cash 10,226Less: Deposits paid during the previous financial year (1,022)Cash outflow on acquisition of subsidiary 9,204The effect of the above acquisition on the financial results of the Group during the financial year wasinsignificant as the company was inactive.The effect of the above acquisition on the financial position of the Group as at 30 June 2003 is as follows:In RM’0002003Land held for development 10,665Net current liabilities (3)Deferred taxation (1,503)Goodwill on consolidation 1,524Minority interest (3,678)Increase in Group’s net assets 7,005191IOI Corporation BerhadAnnual Report 2003