EXCEL FORCE MSC BERHAD Annual Report 2018

93 ANNUAL REPORT 2018 15. Share Capital (cont’d) Warrants (cont’d) The salient features of the Warrants 2014/2019 are as follows: (i) the Warrants 2014/2019 entitle its registered holders to subscribe for one (1) new ordinary share of the Company of RM0.10 each at the exercise price during the exercise period; (ii) the exercise price of each Warrant has been fixed at RM0.68 per Warrant; (iii) the Warrants 2014/2019 may be exercised at any time during the tenure of the Warrants of five (5) years including and commencing from the issue date of the Warrants dated 18 July 2014 and ending on the expiry date to be dated 17 July 2019 (“exercise period”). Any Warrants which have not been exercised by the expiry of the exercise period will lapse and therefore cease to be valid for any purpose; and (iv) the new shares will, upon allotment and issue, rank pari passu in all respects with the then existing shares save and except that they will not be entitled to any dividends, rights, allotment or other forms of distributions for which the relevant entitlement precedes the date of allotment and issuance of the new shares arising from the exercise of the Warrants. On 2 June 2017, the shareholders of the Company had approved the adjustment to the exercise price and number of outstanding of the Warrants 2014/2019 pursuant to the subdivision of every 1 existing ordinary share in the Company into 2 ordinary shares in the Company (“Share Split”). Additional Warrants of 103,286,156 were listed and quoted on the Main Market of Bursa Securities on 21 June 2017. The existing exercise price has been adjusted to RM0.34 per Warrant. As at 31 December 2018, unexercised warrants of the Company are as follows: Date granted Exercise price No. of warrants over ordinary shares Warrant expiry date 18 July 2014 RM0.34 (2017: RM0.34) 205,822,312 (2017: 206,572,312) 17 July 2019 16. Reserves Group Company 2018 2017 2018 2017 Note RM RM RM RM Non-distributable Other reserve (a) (80,745) (80,745) - - Distributable Retained earnings (b) 26,284,429 25,909,341 26,302,567 26,124,151 26,203,684 25,828,596 26,302,567 26,124,151 (a) Other reserve Other reserve represents the difference between the Group’s share of net assets before and after the acquisition of equity interest from its non-controlling interests. (b) Retained earnings The entire retained earnings of the Company are available for distribution as single-tier dividends. Notes To The Financial Statements 31 December 2018 (cont’d)