Fraser & Neave Holdings Bhd Annual Report 2020

187 06 financial statements ANNUAL REPORT 2020 Notes to The Financial Statements (Cont’d.) 10. INVESTMENT IN A JOINT VENTURE Group Company 2020 RM’000 2019 RM’000 2020 RM’000 2019 RM’000 At cost Unquoted shares 127,820 500 127,820 500 Share of post-acquisition reserves (22,977) (22,694) – – 104,843 (22,194) 127,820 500 Shareholder’s loan – 126,820 – 126,820 Interest on shareholder’s loan 38,294 38,279 38,294 38,279 143,137 142,905 166,114 165,599 Less: Unrealised profit (55,292) (55,292) – – 87,845 87,613 166,114 165,599 The joint venture is incorporated in Malaysia and the details are as follows: Name of joint venture Principal activity/Nature of relationship Effective ownership and voting interest (%) 2020 2019 Vacaron Company Sdn Bhd (“VCSB”) (Financial year end: 30 September) Property development/Strategic to the property development activities of the Group 50.00 50.00 The following table summarises the information of VCSB, adjusted for any differences in accounting policies and reconciles the information to the carrying amount of the Group’s interest in VCSB, which is accounted for using the equity method. Group 2020 RM’000 2019 RM’000 Summarised financial information As at 30 September Non-current assets 11 30 Current assets 286,595 286,169 Current liabilities (76,939) (330,606) Year ended 30 September Revenue – – Loss for the year (566) (14,589) Reconciliation of net assets/(liabilities) to carrying amount as at 30 September Group’s share of net assets/(liabilities) 104,834 (22,203) Goodwill 9 9 Shareholder’s loan – 126,820 Interest on shareholder’s loan 38,294 38,279 Elimination of unrealised profit (55,292) (55,292) Carrying amount in the statement of financial position 87,845 87,613 Group’s share of loss for the year (283) (7,295) The joint venture had no other contingent liabilities or capital commitments as at 30 September 2020 and 2019. VCSB cannot distribute its profits without the consent from the two venture partners.