Notes to The Consolidated Financial Statement
AL MAZAYA HOLDING COMPANY K.S.C.P. AND ITS SUBSIDIARIES
31 December 2013
41
9. INVESTMENT IN JOINT VENTURES
The Group further holds 50% ownership inVilla 492 – Project (theVilla) that is accounted using proportionate consolidation
method.
(i) During the previous year, the Parent Company entered into an agreement with one of its partners, Al Nafisi National Real
Estate Group K.S.C.(Closed) (NNRG), to distribute certain assets of it’s joint venture (JVs) Al Wahda Real Estate Investment
Limited (Al Wahda).
During the year, the Group received the remaining balance of its share of assets from the assets distributed in cash
amounting to AED 51,000,000 equivalent to KD 3,936,112 and is netted off against the carrying value of Al Wahda.
(ii) During the previous year the Parent Company entered into an agreement with its partner NNRG to distribute certain
assets of its joint venture Villa – 492 Project (the Villa). The Group’s share in asset distributed amounted to KD 5,059,535,
comprising of properties held for trading amounting to KD 1,300,746 and the balance amount of KD was received in cash
during the year (after netting of other balances related to the JV). The distribution of assets was effected based on the fair
value of properties held for trading as on the date of the contract determined by an independent valuer.
UAE
50
50
Country of
incorporation
2013
2012
Al Wahda Real Estate Investment
Limited
(note 9(i) and (ii))
899,573
4,548,739
2013
KD
2012
KD
Ownership percentage %
Carrying value
4,548,739
-
286,946
(3,936,112)
-
-
899,573
3,221,917
(1,776,054)
873,007
-
2,055,815
174,054
4,548,739
Balance at the beginning of the year
At 1 January
Disposal
Share of results for the year including impairment
Proceeds received on distribution of assets in joint venture
Funds transferred to the joint venture
Acquisition from another partner
Balance at the end of the year
2013
KD
2012
KD
Movement in investment joint ventures:
60
