If the transaction is entered into, not by the listed corporation but by its subsidiary, how are the percentage ratios referred to in Rule 10.02(g) of the ACE LR applied?
In applying the percentage ratios the listed corporation should take into account its interest in the subsidiary in question. For example, A Bhd, a listed corporation, has a 60% owned subsidiary, B Sdn Bhd. B Sdn Bhd acquires a piece of land for the consideration of RM10 million. The calculation of the percentage ratio in respect of Rule 10.02(g)(iii) should be as follows:
60% x RM10 million
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Net assets of A Bhd on consolidated basis