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| Saturday, May 16, 11:17:25pm | [ Login ] [ Contact Forum Admin ] [ Main index ] [ Post a new message ] [ Search | Check update time | Archives: 1, 2, 3, 4, 5, 6, 7, 8, [9], 10 ] |
| Subject: PWI goodwill on acquisition of $150,377,624 2002 year | |
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Author: has been recorded in the consolidated financial statements of ERG. |
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Date Posted: Thursday, March 06, 05:52:56am http://www.erg.com.au/invst_relations/reports/annrept/2002_financials.pdf ----------------------------------------------------------- Acquisition of remaining 90 per cent of the issued capital of PWI for a purchase consideration comprising a mixture of cash and shares to the value of $142,320,000. Included in this purchase consideration are deferred cash settlements of $38,701,000 payable within one year and $38,022,191 payable on 16 March 2005. ----------------------------------------------------------- Subsequent to the end of the financial year, the 12,000,000 pounds payable to Banksys on the Proton World International SA acquisition was restructured as follows: 1,000,000 pounds will be paid on 30 November 2002; 5,000,000 pounds was deferred for one year; and 6,000,000 pounds payable on 15 March 2003 has been deferred to 15 March 2004. 6,000,000 pounds payable on 15 March 2003 has been deferred to 15 March 2004. ---------------------------------------------------------- Effective 15 March 2002, the consolidated entity acquired the remaining 90% of the shares of Proton World International SA (PWI) that it did not previously own. PWI has become a 100% owned controlled entity and the goodwill on acquisition of $150,377,624 has been recorded in the consolidated financial statements of ERG. ----------------------------------------------------------- 44 Investments in Controlled Entities (continued) Details of the acquisition are as follows: Consolidated ----------------------------------------------------------- 2002 $000 Fair value of identifiable net assets of the controlled entities acquired: Cash 13,397 Trade debtors 8,838 Property, plant and equipment 961 Prepayments 688 Inventories 324 Other debtors 250 Product development 178 Investments 37 Bank borrowings – current (2,312) Deferred income (3,518) Other creditors and accruals (3,820) Provisions (6,614) Trade creditors (4,825) Bank borrowings – non-current (11,641) Net liabilities acquired (8,057) Goodwill on consolidation 150,377 Total consideration 142,320 Consideration consists of: Cash and deferred consideration 95,204 Cost of original investment 25,905 Shares issued 21,152 Other acquisition costs 59 Total consideration 142,320 [ Next Thread | Previous Thread | Next Message | Previous Message ] |
| Subject | Author | Date |
| Re: PWI goodwill on acquisition of $150,377,624 2002 year | The half-year result includes a provision of $52.4 million taken in contemplation of the PW sale, as compared to its book value at 31 December 2002. | Thursday, March 06, 06:00:28am |
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| An amount of Euro 22.5 million (A$40.9 million),representing payments due to ERG on a milestone earn-out basis under the proposed PW sale, has not been accounted for in determining the provision and will be brought to account as it is earned. (NT) | As part ofthe proposed sale, ERG will retain access to the Proton technology by taking a 20 year global licence of the Proton technology. | Thursday, March 06, 06:04:49am |
| 6/3/03 Proton World's key asset is its technology which the proposed sale will guarantee ERG access to (including upgrades) for 20 years. (NT) | Belgian-based Proton World was acquired by ERG in March 2002 for A$112 million plus a deferred contingent consideration of $38 million at 30 June 2002. | Thursday, March 06, 07:30:58am |
| "When combined with the proposed sale of PW the impact on the balance sheet would be dramatically positive.The proposed (NT) | sale of PW will eliminate $15 million per annum in amortisation of goodwill, whilst the note conversion eliminates interest of $18 million, giving a total annual saving of $33 million," he said. | Thursday, March 06, 07:38:45am |
| Assuming the full restructure, including the rights issue of $50 million, had taken place as at 31 December 2002, and the PW sale had occurred, the effects on the balance sheet as at that date would have beenBefore Net Assets $29 million After $311 million before $329 million after $87 million : (NT) | beforeCash $18 million after $113 millionNet Tangible Assets before($147) million after $212 million Interest-Bearing Debt to Equity before 1,134% after 28% | Thursday, March 06, 07:56:44am |
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