108 / 129
N
otes To The Consolidated Financial Statements
AL MAZAYA HOLDING K.S.C.P. AND ITS SUBSIDIARIES
As At 31 December 2016
ANNUAL REPORT
2016
KD
13,825,998
12,309,657
7,095,308
3,582,920
418,183
37,232,066
10,023,718
1,041,594
13,570,939
24,636,251
12,595,815
)1,502,303(
)1,547,333(
)6,189,334(
)3,000,000(
356,845
2,068,376
2,425,221
)1,502,303(
418,183
)1,084,120(
ASSETS
Investment properties (Note 9)
Properties held for trading (Note 13)
Deferred tax assets (included in accounts receivables and other debit balances)
Accounts receivable and other debit balances
Cash and bank balances
LIABILITIES
Term loans
Advances from customers
Accounts payable and other credit balances
Total identifiable net assets at provisional fair value
Cash consideration for the acquisition
Non-controlling interests share in the acquiree’s identifiable net assets
Fair value of acquirer›s previously held equity interests
Settlement of pre-existing relationship *
Gain on bargain purchase on acquisition
Gain on remeasurement of previously held equity interest **
Net gain arising on business combination
Consideration paid
Cash and cash equivalents in subsidiary acquired
Cash outflow on acquisition
6. BUSINESS COMBINATION
The Parent Company owned 40% equity interest in Ritim Istanbul Insaat Anonim Sirketi (“Ritim”) which was
classified as a joint venture with carrying value of KD 3,904,559. During the current year, the Parent Company
acquired additional 50% equity interest in Ritim from the other shareholders of the company. As a result, the
Parent’s Company effective equity interest in Ritim increased from 40% to 90%. As this transaction meets the
criteria of IFRS 3 – Business Combination for the business combination achieved in stages, the Group reclassified
its investment in Ritim from investment in joint venture to investment in subsidiary and consolidated Ritim from
the effective date of control.
The acquisitions have been accounted based on the fair values assigned to the identifiable assets and liabilities
assumed of the acquiree Company as on the reporting date.
The consideration paid and the values of assets acquired and liabilities assumed, as well as the non-controlling
interests at the proportionate share of the acquiree’s identifiable net assets, are summarized as follows:
* Settlement of pre-existing relationship represents certain properties owned by the seller before the business
combination and considered part of the consideration.
105