184 / 280
NOTES TO THE GROUP ANNUAL FINANCIAL STATEMENTS
CONTINUED
For the year ended 31 May 2014
182
BLUE LABEL INTEGRATED ANNUAL REPORT 2014
25.
DISPOSAL OF SUBSIDIARIES
31 May 2013
Date disposed
% disposed
1 September
2012
100
1 January
2013
100
Content
Connect
Africa
Proprietary
Limited
R’000
Multiserv
Proprietary
Limited
R’000
Total
R’000
The carrying/fair value of the net assets disposed of:
Cash and cash equivalents
486
3 744
4 230
Property, plant and equipment
117
216
333
Intangible assets
2 970
4 618
7 588
Inventories
— 1 643
1 643
Receivables
6 503
1 112
7 615
Loans receivable
— 1 839
1 839
Deferred tax
— (468)
(468)
Borrowings
(3 130)
(6 068)
(9 198)
Current tax liabilities
(45)
—
(45)
Payables
(7 620)
(4 291)
(11 911)
Carrying/fair value of subsidiary disposed of:
(719)
2 345
1 626
Goodwill
4 746
5 846
10 592
Carrying/fair value of net assets disposed of:
4 027
8 191
12 218
(Loss)/profit on disposal of subsidiary
(2 027)
2 147
120
Total proceeds on disposal
2 000
10 338
12 338
Less:
Proceeds to be settled
— (7 853)
(7 853)
Total proceeds on disposal received in cash
2 000
2 485
4 485
Less:
Cash and cash equivalents in subsidiary
(486)
(3 744)
(4 230)
Cash inflow on disposal
1 514
(1 259)
255
On 1 September 2012, Blue Label Telecoms Limited sold its 100% shareholding in Content Connect Africa
Proprietary Limited to management for an amount of R2 million. The loss on disposal of R2 million has been
recognised in the statement of comprehensive income.
On 1 January 2013, Blue Label Telecoms Limited sold its 100% shareholding in Multiserv Proprietary Limited
for an amount of R10.3 million. The profit on disposal of R2.1 million has been recognised in the statement
of comprehensive income.