NOTES TO THE FINANCIAL STATEMENTS – NOTE 6

6. Investment in joint ventures
6.1 Joint venture – AttAfrica Limited (AttAfrica)

Hyprop Mauritius has a 37,5% interest in AttAfrica (formerly Atterbury Africa Limited), a Mauritius-based property investment company. The initial investment was made on 20 November 2012. Hyprop Mauritius has 50% of the voting rights on the board of AttAfrica. Hyprop Mauritius accordingly has joint control of AttAfrica.

  GROUP
June 2015
R000		   GROUP
June 2014
R000		   COMPANY
June 2015
R000		   COMPANY
June 2014
R000		  
Initial investment in equity #   #          
Share in equity-accounted profits ^   ^          
#  Less than R1 000
^ Nil		                
At 30 June 2015, Hyprop Mauritius’ 37,5% share of AttAfrica’s liabilities exceeded its share of the assets by R39 million (2014: R15 million).                
Summarised financial information of AttAfrica is as follows (all figures reflect 100% of AttAfrica):                
Summarised statements of comprehensive income                
Share of losses of associates (3 575)   (766)          
Other income 44 397   6 604          
Property income 101 861              
Operational expenses (223 802)   (14 510)          
Property expenses (26 627)              
Interest income 45 964   11 793          
Finance cost (181 409)   (70 540)          
Fair value gain on investment property     4 506          
Share of profits of joint venture 121 871   41 318          
Loss before taxation (121 320)   (21 595)          
Taxation 9 600              
Loss for the year (111 720)   (21 595)          
Other comprehensive loss                
Foreign currency translation reserve (5 730)              
Share of other comprehensive loss of associate     (736)          
Total comprehensive loss for the year (117 450)   (22 331)          
Attributable to:                
Equity holders of the company (59 693)   (19 036)          
Non-controlling interests (57 757)   (3 295)          
Hyprop's share of profits and losses of AttAfrica                
– Share of gain on acquisition of Manda Hill Centre 24 093              
– Share of losses from joint venture (24 093)              
Summarised statements of financial position                
Assets                
Non-current assets 3 134 515   1 339 381          
Investment property 1 787 992   883 617          
Investment in associates 2 419   5 388          
Investment in joint venture 374 243   218 575          
Loan receivable 956 310   231 572          
Deferred taxation 10 874              
Property, plant and equipment 2 677   229          
Current assets 287 480   180 171          
Cash and cash equivalents 48 321   36 404          
Trade and other receivables 239 159   143 767          
Total assets 3 421 995   1 519 552          
Equity and liabilities                
Capital and reserves 38 613   153 287          
Shareholders’ deficit (104 765)   (39 999)          
Non-controlling interest 138 373   190 880          
Foreign currency translation reserve 5 005   2 406          
Non-current liabilities 3 235 094   1 288 689          
Borrowings 3 235 094   1 288 689          
Current liabilities 148 288   77 576          
Trade and other payables 148 288   77 576          
Total equity and liabilities 3 421 995   1 519 552          
Unrecognised share of losses in AttAfrica 39 287   15 000          
Commitments and contingent liabilities relating to AttAfrica                
Guarantees 469 545   92 671          
6.2 Joint venture – Manda Hill Mauritius Limited (Manda Hill Mauritius)

Hyprop Mauritius has a 50% interest in Manda Hill Mauritius, a Mauritius-based property investment company. AttAfrica holds the other 50% of the shares in Manda Hill Mauritius. Hyprop Mauritius’ effective economic interest in Manda Hill Mauritius is 68,75%. The effective date of the investment is 1 July 2014. Hyprop Mauritius has 50% of the voting rights on the board of Manda Hill Mauritius. Hyprop Mauritius accordingly has joint control of Manda Hill Mauritius.
      GROUP
June 2015
R000		   GROUP
June 2014
R000		   COMPANY
June 2015
R000		   COMPANY
June 2014
R000		  
    Initial investment in equity #              
    # Less than R1 000                
    As at 30 June 2015, Hyprop Mauritius’ 50% share of Manda Hill Mauritius’ assets exceeded its liabilities by R81,6 million.                
    Summarised financial information of Manda Hill Mauritius is as follows (all figures reflect 100% of Manda Hill Mauritius):                
    Summarised statements of comprehensive income                
    Rental income 139 374              
    Property income 16 061              
    Gain on bargain purchase 128 494              
    Other income 5 424              
    Operational expenses (29 656)              
    Other expenses (31 745)              
    Finance cost (85 735)              
    Profit before taxation 142 217              
    Taxation (432)              
    Profit for the year 141 785              
    Other comprehensive loss                
    Foreign currency translation reserve 21 399              
    Total comprehensive income for the year 163 184              
    Attributable to:                
    Equity holders of the company 163 184              
    Non-controlling interests                
    Hyprop's share of profits of Manda Hill Mauritius 70 893              
    – Share of gain on bargain purchase 64 247              
    – Share of income from joint venture 6 646              
    Summarised statements of financial position                
    Assets                
    Non-current assets 1 924 637              
    Investment property 1 896 202              
    Property, plant and equipment 28 435              
    Current assets 8 871              
    Cash and cash equivalents 4 385              
    Trade and other receivables 4 486              
    Total assets 1 933 508              
    Equity and liabilities                
    Capital and reserves 163 184              
    Shareholders’ equity 141 785              
    Foreign currency translation reserve 21 399              
    Non-current liabilities 1 749 089              
    Shareholder loans 1 025 379              
    Other payables 17 764              
    Borrowings 705 946              
    Current liabilities 21 235              
    Trade and other payables 21 235              
    Total equity and liabilities 1 933 508              
    Hyprop’s share of net assets in Manda Hill Mauritius 80 996              
    50% of net assets of Manda Hill Mauritius 70 893              
    Cost of A shares in Manda Hill Centre 10 103              
    Commitments and contingent liabilities relating to Manda Hill Mauritius                
    Guarantees Nil