axiata group berhad | annual report 2015
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45. RECLASSIFICATION
The Group comparatives of the following components in the consolidated statements of comprehensive income have been reclassified to conform to
current financial year presentation:
As
previously
reported Reclassification
As restated
RM’000
RM’000
RM’000
Financial year ended 31 December 2014
Domestic interconnect and international outpayment
2,470,796
(185,236)
2,285,560
Other operating costs
6,470,915
185,236
6,656,151
46. EVENTS AFTER REPORTING PERIOD
(a) Second tranche tower sale by XL through tender process
On 6 January 2016, XL announced its tower sale plan through tender process. Proceeds from the transaction will be used to pay XL’s borrowings.
The impact of the above transaction to the Group will be quantified upon completion.
(b) Proposed amalgamation of Robi Axiata Limited (“Robi”) and Airtel Bangladesh Limited (“Airtel”)
Robi, had on 28 January 2016 entered into an agreement with Bharti Airtel Holdings (Singapore) Pte Ltd (“Bharti Singapore”) for the amalgamation
of Airtel Bangladesh with Robi based on the terms set in the agreement and Companies Act, 1994 of Bangladesh.
The Proposed Merger shall be satisfied fully via issuance of not exceeding 1,178,535,001 ordinary shares of Robi of BDT10 each to Bharti
Singapore for the shareholding of up to 25.00% plus 1 ordinary share of Robi on a fully diluted basis of the combined entity.
The agreement is conditional upon regulatory approvals which include, inter-alia, the following unless otherwise waived by the parties to the
Agreement on or before the closing:
(i)
receipt of recommendation from Bangladesh Telecommunications Regulator Commission (“BTRC”) for the Proposed Merger pursuant to
the Bangladesh Telecommunication Act.
(ii) receipt of approval or confirmation of no objection to the Proposed Merger from the Government of Bangladesh.
(iii) receipt of all relevant approvals and issue of all related licenses or authorisations from BTRC and issue to Robi of the Order of Merged
Licenses.
(iv) execution of the Shareholders’ Agreement.
(v) approval of the High Court of Bangladesh, Bangladesh Securities and Exchange Commission of the issue of the Consideration; and
(vi) completion of the merger filing with Registrar of Joint Stock Companies and Firms of Bangladesh.
Upon completion of the proposed amalgamation, the Group is expected to hold 68.70% in the combined entity.
(c) Capital increase with Pre-emptive Rights by XL
On 1 February 2016, XL announced its intention to embark on a rights issue with the net proceeds from the rights issue to be used to repay
XL’s USD500.0 million shareholder’s loan. The Company has expressed its intention to fully subscribe for it’s pro rata rights entitlement under the
rights issue.
The rights issue is subject to XL’s shareholder approval through an extraordinary general shareholders meeting scheduled on 10 March 2016, as
well as obtaining an effective letter from the Financial Service Authority with respect a registration statement to be submitted by XL.
