Notes to The Consolidated Financial Statement
AL MAZAYA HOLDING COMPANY K.S.C.P. AND ITS SUBSIDIARIES
31 December 2014
Notes to The Consolidated Financial Statement
AL MAZAYA HOLDING COMPANY K.S.C.P. AND ITS SUBSIDIARIES
31 December 2014
41
9. INVESTMENT IN JOINT VENTURES
The Group further holds 50% ownership inVilla 492 – Project (theVilla) that is accounted using proportionate consolidation
method.
During the year, Parent Company increased the share capital of one of its subsidiary in Turkey MTGYS from Turkish Lira
(TRY) 50,000 to TRY 72,000,000. The Parent Company, after the capital increase, sold its 50% equity interest in MTGYS
to a Turkish Company (Joint Venturer). Further, the Parent Company sold its 10% equity interest in MTGYS to a major
shareholder of the Parent Company at its carrying value, which result in no gain or loss in the consolidated statement of
income (Note 25). As result of the above transaction, the remaining interest of Parent Company in MTGYS was reduced
to 40%.
The remaining interest was classified as an investment in joint venture based on the contractual arrangement entered
during the year between the above parties that establishes joint control over the economic activities of MTGYS.
UAE
Al Wahda Real Estate Investment
Limited
Turkey
Mazaya Turkey Gayimenkul
Yatirimlarianonim
Sirketi ( MTGYS)( refer note
below)
RealEstate
Development
RealEstate
Development
-
50
40
-
Country of
incorporation
2014
2013
2014
KD
2013
KD
Ownership percentage %
Principal
activity
Carrying value
899,573
3,702,816
345,260
(1,244,833)
3,702,816
4,548,739
-
286,946
(3,936,112)
899,573
Balance at the beginning of the year At 1 January
Additions
Share of results for the year
Proceeds received on distribution of assets in joint venture
Balance at the end of the year
2014
KD
2013
KD
Movement in investment joint venture equity accounted:
-
899,573
3,702,816
-
68
Statement of financial position and income statement of joint venture:
The following amounts are included in the consolidated financial statements as a result of the proportionate consolidation
of Villa:
2014
KD
2014
KD
9,415,056
)158,016(
9,257,040
3,702,816
3,160,078
690,520
345,260
923,136
-
429,842
13,438
)12,752(
Asset
Liabilities
Net assets
Group's share of net assets
Revenues
Profit for the year
Group's share of results
Current assets
Non-current assets
Current liabilities
Income
Expenses
2013
KD
2013
KD
6,036,679
(4,237,534)
1,799,145
899,573
3,337,569
573,892
286,946
1,189,247
-
660,760
1,241,602
(724,038)
69
