axiata group berhad | annual report 2015
151
5.
INCORPORATIONS, ACQUISITIONS, MERGERS, DISPOSALS AND DILUTIONS OF INTERESTS (CONTINUED)
(a) Incorporation, acquisitions, and dilutions of interests during the financial year (continued)
(xiii) Incorporation of Digital Health (Private) Limited (“Digital Health”)
DHL, a wholly-owned subsidiary Dialog and Asiri Hospital Holdings PLC (“Asiri Hospital”) entered into a Memorandum of Understanding to
incorporate Digital Health with the objective of developing and operating a state-of-the-art electronic commerce infrastructure for the
healthcare sector in Sri Lanka.
Digital Health was incorporated on 14 August 2015 under the Companies Act. No. 7 of 2007 with a stated capital of SLR1,000 which consist
of 100 ordinary shares. DHL and Asiri Hospital are holding 70.00% and 30.00% stake of the initial shareholding of Digital Health respectively.
The incorporation did not have significant impact to the Group during the financial year.
(xiv) Acquisition of 75.00% equity interest in Digicel Asian Holdings Pte Ltd (“DAH”)
On 2 October 2015, edotco Investments (Labuan) Limited (“EIL”), a wholly-owned subsidiary of edotco Group Sdn Bhd (“edotco Group”)
entered into a SPA with Digicel Group Limited to acquire a 75.00% equity interest in DAH, the parent of Digicel Myanmar Tower Company
Limited.
On 4 December 2015, EIL completed the acquisition for a total cash consideration of RM528.5 million (USD125.0 million).
The following summarises the consideration paid, the fair value of assets acquired and liabilities assumed at the acquisition date.
RM’000
Net purchase consideration in cash
528,500
Details of the net assets acquired are as follows:
PPE
497,007
Intangible assets
358,534
Trade and other receivables
25,228
Cash and bank balances
52,520
Provision for liabilities
(66,221)
Trade and other payables
(47,745)
Tax liabilities
(2,938)
Borrowings
(249,410)
Total net assets
566,975
Less: NCI
(141,744)
Total net assets acquired
425,231
Goodwill on acquisition
103,269
528,500
The goodwill on acquisition is subject to finalisation of Purchase Price Allocation and other related tax implications within twelve (12)
months from the date of acquisition of DAH.
The goodwill arising from acquisition is attributable to the expansion of regional footprint in Myanmar.
