BCUCC or IFRS 3?
Posted: 23 Sep 2021, 06:15
Hi,
I need to draw the line whether below transaction is a BCUCC or BC:
Before Combination the govt are the controlling shareholders of those SOEs which each of them have a subsidiary
........Government
|.............|.............|
|.............|.............|
SOE A......SOE B........SOE C
|.............|.............|
|.............|.............|
Sub A......Sub B........Sub C
and then the government decided to merge all the subsidiaries into one company and transferred the merged company under SOE A as follow:
........Government
|.............|.............|
|.............|.............|
SOE A......SOE B........SOE C
|
|
Sub ABC (merged)
I don't know whether "transfer" is the correct term for this because the govt decided not to "transfer" the Sub B and Sub C first before merging.
Thank you
I need to draw the line whether below transaction is a BCUCC or BC:
Before Combination the govt are the controlling shareholders of those SOEs which each of them have a subsidiary
........Government
|.............|.............|
|.............|.............|
SOE A......SOE B........SOE C
|.............|.............|
|.............|.............|
Sub A......Sub B........Sub C
and then the government decided to merge all the subsidiaries into one company and transferred the merged company under SOE A as follow:
........Government
|.............|.............|
|.............|.............|
SOE A......SOE B........SOE C
|
|
Sub ABC (merged)
I don't know whether "transfer" is the correct term for this because the govt decided not to "transfer" the Sub B and Sub C first before merging.
Thank you