| Notes to the consolidated financial statements | Note 26 |
|
| 26. |
PUTTABLE NON-CONTROLLING INTEREST LIABILITIES
The acquisition of Caterfood during the year resulted in a put option being agreed with the non-controlling shareholder. Certain of the put option arrangements were in existence at June 30 2015. The put options entitle the non-controlling shareholders to sell their holdings in the subsidiaries to the group at contracted dates and amounts.
The group has the following put options:
- The non-controlling shareholders in Distribuzione Alimentari Convivenze SPA (DAC) have the option to put their 40% interest in DAC to
the group, using a market valuation formula on or about June 30 2019.
- The non-controlling shareholder in Caterfood has the option to put their 12% interest in Caterfood to the group, using a market valuation
formula on or about September 30 2017.
| |
2016
R’000 |
|
2015
R’000 |
|
| The effect of granting these put options on the group’s results can be summarised as follows: |
|
|
|
|
| Balance at beginning of year |
913 638 |
|
– |
|
| Arising on the granting of put options to non-controlling interests during the year |
44 700 |
|
902 410 |
|
| Unwinding of present value discount recognised in the statement of profit or loss |
23 085 |
|
18 363 |
|
| Exchange rate adjustments |
187 498 |
|
(7 135) |
|
| |
1 168 921 |
|
913 638 |
|
| DAC |
|
|
|
|
| Discount rate |
1,99% |
|
1,99% |
|
| Expected settlement date |
July 1 2019 |
|
July 1 2019 |
|
| Caterfood |
|
|
|
|
| Discount rate |
5,00% |
|
– |
|
| Expected settlement date |
September 30 2017 |
|
– |
|
|
| Notes to the consolidated financial statements | Note 26 |
|
|