GHL System Berhad Annual Report 2018

G H L S y s t e m S B e r h a d ( 2 9 3 0 4 0 - D ) 108 NOT ES TO THE F I NANC I A L STAT EMENTS 3 1 D e c e m b e r 2 0 1 8 C O N T ’ D 15. INVESTMENTS IN SUBSIDIARIES (cont’d) (o) During the financial year, GHL Asia Pacific Limited (“GHLAP”) had subscribed for 100 ordinary shares in GHL Myanmar Limited (“GHLM”), a company incorporated in Myanmar for a consideration of RM417. GHLM became a wholly owned indirect subsidiary of the Company. 16. INVESTMENTS IN JOINT VENTURES AND AN ASSOCIATE Group 2018 2017 RM RM Joint ventures Unquoted equity shares, at cost 1,581,442 2,213,542 Share of post-acquisition reserves (1,145,648) (1,198,827) Foreign exchange reserve (46,900) (46,900) Accumulated impairment losses (388,894) (786,594) - 181,221 Associate Unquoted equity shares, at cost 632,100 - Share of post-acquisition reserves (8,527) - Accumulated impairment losses (397,700) - 225,873 - 225,873 181,221 Investments in joint ventures and an associate are stated in the separate financial statements at cost. (a) The details of the joint ventures are as follows: Name of company Country of incorporation Effective interest in equity Principal activities 2018 2017 % % MRuncit Commerce Sdn. Bhd. # Malaysia - 49 Engaged in the business of developing and selling software and e-commerce. e-pay Pakistan (Private) Limited ^ Pakistan 50 50 Dormant. Electronic Payment Network (Thailand) Co. Limited ^ Thailand 16 16 Dormant. # Joint venture audited by BDO PLT Malaysia. ^ The unaudited financial statements were used in the consolidation of the results of the joint ventures. All the above joint ventures are accounted for using the equity method in the consolidated financial statements.