Annual Report 2015
149
32 BUSINESS COMBINATIONS
(continued)
b) Acquisition of Republic Bank (Suriname) N.V.
(continued)
Fair value recognised
on acquisition
July 31, 2015
Purchase consideration
Amount settled in cash
288,634
Analysis of cash flows on acquisition
Net cash acquired (included in cash flows from investing activities)
1,441,598
Consideration transferred
(288,634)
Net cash inflow
1,152,964
If the acquisition of Republic Bank (Suriname) N.V. had taken place at the beginning of the year, revenue from continuing
operations would have been $174.4 million and the profit from continuing operations for the period would have been $28.6
million.
Transaction costs of $9 million have been expensed and are included in operating expenses in the statement of income and are
part of the operating cash flows in the statement of cash flows.
33 EVENTS AFTER THE REPORTING PERIOD
On June 26, 2015 shareholders’ approval was obtained to create Republic Financial Holdings Limited, the umbrella company under
which all of the Group’s main subsidiaries will be held.
The proposed formation of Republic Financial Holdings Limited will be achieved by Republic Bank Limited transferring (vesting) all
of its banking business into Republic Finance and Merchant Bank Limited (FINCOR), save for the shareholdings in various banking
subsidiaries. FINCOR will be renamed Republic Bank Limited and Republic Bank Limited will change its name to Republic Financial
Holdings Limited.
We are currently in the process of obtaining all of the requisite approvals and expect the holding company structure to be in place by
January 1, 2016. This reorganisation will not result in any change of economic substance for the Group as at the vesting date.
