87 / 170
2016
R’000
2015
R’000
11.
ACQUISITION OF BUSINESSES, SUBSIDIARIES AND ASSOCIATES
(continued)
Net fair value of assets brought forward
(203 252)
(1 066 967)
Goodwill
(486 542)
(1 738 080)
Intangible assets
–
(547 469)
Non-controlling interest
44 700
895 298
Total value of acquisitions
(645 094)
(2 457 218)
Less:
Cash and cash equivalents acquired
10 988
209 449
Vendors for acquisition at beginning of year
(558 315)
(459 243)
Vendors for acquisition at end of year
513 308
558 315
Costs incurred in respect of acquisitions
(8 947)
(43 611)
Exchange rate adjustments
(32 577)
32 413
Net amounts paid
(720 637)
(2 159 895)
The group made a number of small acquisitions during the year, namely Caterfood (UK), Cimandis (UK),
Knight Meats (UK), MPD (Czech Republic), Van Bennekom (Netherlands), Hume Fresh Produce and
Pacific Provideros (Australia).
These acquisitions form part of the group’s strategic expansion plans in the international foodservice
industry. Goodwill arose on the acquisitions as the anticipated value of future cash flows that were
taken into account in determining the purchase consideration exceeded the net assets acquired at fair
value. The acquisitions have enabled the group to expand its range of complementary products and
services and, as a consequence, has broadened the group’s base in the market place.
There were no significant contingent liabilities identified in the businesses acquired.
Contribution to results for the year
Revenue
689 257
3 805 634
Operating profit before acquisition costs
25 988
212 853
Contribution to results for the year if the acquisitions had been effective on July 1
Revenue
1 322 887
3 805 634
Operating profit before acquisition costs
66 913
212 853
Bidcorp Limited Annual integrated report 2016 |
Page 83
Financial overview