Atul Ltd 2018-19

i) fair values of the assets transferred, ii) liabilities incurred to the former owners of the acquired business, iii) equity interest issued by the Group, iv) fair value of any asset or liability resulting from a contingent consideration arrangement. TēĚŠƥĿǛîċŕĚ îƙƙĚƥƙ îČƐƭĿƑĚēȡ ŕĿîċĿŕĿƥĿĚƙ îŠē ČūŠƥĿŠijĚŠƥ ŕĿîċĿŕĿƥĿĚƙ îƙƙƭŞĚē ĿŠ î ċƭƙĿŠĚƙƙ ČūŞċĿŠîƥĿūŠ îƑĚȡ ǅĿƥĺ ŕĿŞĿƥĚē ĚǊČĚƎƥĿūŠƙȡ ŞĚîƙƭƑĚē ĿŠĿƥĿîŕŕǋ îƥ ƥĺĚĿƑ ljîĿƑ ǄîŕƭĚƙ îƥ ƥĺĚ îČƐƭĿƙĿƥĿūŠ ēîƥĚȦ ¹ĺĚ HƑūƭƎ ƑĚČūijŠĿƙĚƙ îŠǋ ŠūŠȹČūŠƥƑūŕŕĿŠij interest in the acquired entity on an acquisition-by-acquisition basis either at fair value or at the non-controlling interest’s ƎƑūƎūƑƥĿūŠîƥĚ ƙĺîƑĚ ūlj ƥĺĚ îČƐƭĿƑĚē ĚŠƥĿƥǋɄƙ ŠĚƥ ĿēĚŠƥĿǛîċŕĚ îƙƙĚƥƙȦ ČƐƭĿƙĿƥĿūŠȹƑĚŕîƥĚē Čūƙƥƙ îƑĚ ĚǊƎĚŠƙĚē îƙ ĿŠČƭƑƑĚēȦ ¹ĺĚ ĚǊČĚƙƙ ūlj ƥĺĚȠ ȟ ƙƭŞ ūlj ČūŠƙĿēĚƑîƥĿūŠ ƥƑîŠƙljĚƑƑĚē ȟ îŞūƭŠƥ ūlj îŠǋ ŠūŠȹČūŠƥƑūŕŕĿŠij ĿŠƥĚƑĚƙƥ ĿŠ ƥĺĚ îČƐƭĿƑĚē ĚŠƥĿƥǋ ȟ îČƐƭĿƙĿƥĿūŠȹēîƥĚ ljîĿƑ ǄîŕƭĚ ūlj îŠǋ ƎƑĚǄĿūƭƙ ĚƐƭĿƥǋ ĿŠƥĚƑĚƙƥ ĿŠ ƥĺĚ îČƐƭĿƑĚē ĚŠƥĿƥǋ ūǄĚƑ ƥĺĚ ljîĿƑ ǄîŕƭĚ ūlj ƥĺĚ ŠĚƥ ĿēĚŠƥĿǛîċŕĚ îƙƙĚƥƙ îČƐƭĿƑĚē Ŀƙ ƑĚČūƑēĚē îƙ ijūūēǅĿŕŕȦ Tlj ƥĺūƙĚ îŞūƭŠƥƙ îƑĚ ŕĚƙƙ ƥĺîŠ ƥĺĚ ljîĿƑ ǄîŕƭĚ ūlj ƥĺĚ ŠĚƥ ĿēĚŠƥĿǛîċŕĚ îƙƙĚƥƙ ūlj ƥĺĚ ċƭƙĿŠĚƙƙ îČƐƭĿƑĚēȡ ƥĺĚ ēĿljljĚƑĚŠČĚ Ŀƙ ƑĚČūijŠĿƙĚē ĿŠ ūƥĺĚƑ ČūŞƎƑĚĺĚŠƙĿǄĚ ĿŠČūŞĚ and accumulated in equity as capital reserve provided there is clear evidence of the underlying reasons for classifying the business combination as a bargain purchase. In other cases, the bargain purchase gain is recognised directly in equity as Capital reserve. Where settlement of any part of cash consideration is deferred, the amounts payable in future are discounted to their ƎƑĚƙĚŠƥ ǄîŕƭĚ îƙ îƥ ƥĺĚ ēîƥĚ ūlj ĚǊČĺîŠijĚȦ ¹ĺĚ ēĿƙČūƭŠƥ ƑîƥĚ ƭƙĚē Ŀƙ ƥĺĚ ĚŠƥĿƥǋɄƙ ĿŠČƑĚŞĚŠƥîŕ ċūƑƑūǅĿŠij ƑîƥĚȡ ċĚĿŠij ƥĺĚ ƑîƥĚ îƥ ǅĺĿČĺ î ƙĿŞĿŕîƑ ċūƑƑūǅĿŠij Čūƭŕē ċĚ ūċƥîĿŠĚē ljƑūŞ îŠ ĿŠēĚƎĚŠēĚŠƥ ǛŠîŠČĿĚƑ ƭŠēĚƑ ČūŞƎîƑîċŕĚ ƥĚƑŞƙ îŠē ČūŠēĿƥĿūŠƙȦ ūŠƥĿŠijĚŠƥ ČūŠƙĿēĚƑîƥĿūŠ Ŀƙ ČŕîƙƙĿǛĚē ĚĿƥĺĚƑ îƙ ĚƐƭĿƥǋ ūƑ î ǛŠîŠČĿîŕ ŕĿîċĿŕĿƥǋȦ ŞūƭŠƥƙ ČŕîƙƙĿǛĚē îƙ î ǛŠîŠČĿîŕ ŕĿîċĿŕĿƥǋ îƑĚ ƙƭċƙĚƐƭĚŠƥŕǋ ƑĚŞĚîƙƭƑĚē ƥū ljîĿƑ ǄîŕƭĚ ǅĿƥĺ ČĺîŠijĚƙ ĿŠ ljîĿƑ ǄîŕƭĚ ƑĚČūijŠĿƙĚē ĿŠ ƎƑūǛƥ ūƑ ŕūƙƙȦ If the business combination is achieved in stages, the acquisition date carrying value of the acquirer’s previously held equity interest in the acquiree is remeasured to fair value at the acquisition date. Any gains or losses arising from such ƑĚŞĚîƙƭƑĚŞĚŠƥ îƑĚ ƑĚČūijŠĿƙĚē ĿŠ ƎƑūǛƥ ūƑ ŕūƙƙ ūƑ ūƥĺĚƑ ČūŞƎƑĚĺĚŠƙĿǄĚ ĿŠČūŞĚȡ îƙ îƎƎƑūƎƑĿîƥĚȦ Ŀȴ ¡ƑūƎĚƑƥǋȡ ƎŕîŠƥ îŠē ĚƐƭĿƎŞĚŠƥȠ Freehold land is carried at historical cost. All other items of property, plant and equipment are stated at acquisition cost ŠĚƥ ūlj îČČƭŞƭŕîƥĚē ēĚƎƑĚČĿîƥĿūŠ îŠē îČČƭŞƭŕîƥĚē ĿŞƎîĿƑŞĚŠƥ ŕūƙƙĚƙȡ Ŀlj îŠǋȦ OĿƙƥūƑĿČîŕ Čūƙƥ ĿŠČŕƭēĚƙ ĚǊƎĚŠēĿƥƭƑĚ ƥĺîƥ Ŀƙ directly attributable to the acquisition of the items. Acquisition cost may also include transfers from equity of any gains or ŕūƙƙĚƙ ūŠ ƐƭîŕĿljǋĿŠij Čîƙĺ ǜūǅ ĺĚēijĚƙ ūlj ljūƑĚĿijŠ ČƭƑƑĚŠČǋ ƎƭƑČĺîƙĚƙ ūlj ƎƑūƎĚƑƥǋȡ ƎŕîŠƥ îŠē ĚƐƭĿƎŞĚŠƥȦ Subsequent costs are included in the carrying amount of asset or recognised as a separate asset, as appropriate, only ǅĺĚŠ Ŀƥ Ŀƙ ƎƑūċîċŕĚ ƥĺîƥ ljƭƥƭƑĚ ĚČūŠūŞĿČ ċĚŠĚǛƥƙ îƙƙūČĿîƥĚē ǅĿƥĺ ƥĺĚ ĿƥĚŞ ǅĿŕŕ ǜūǅ ƥū ƥĺĚ HƑūƭƎ îŠē ƥĺĚ Čūƙƥ ūlj ƥĺĚ ĿƥĚŞ can be measured reliably. Gains or losses arising on retirement or disposal of assets are recognised in the Consolidated ¬ƥîƥĚŞĚŠƥ ūlj ¡ƑūǛƥ îŠē gūƙƙȦ GƑƭĿƥƙ ċĚîƑĿŠij ƎŕîŠƥƙ ƐƭîŕĿljǋ îƙ ċĚîƑĚƑ ƎŕîŠƥƙ ƭŠēĚƑ TŠē ¬ ǧǬȦ /ǊƎĚŠēĿƥƭƑĚ ĿŠČƭƑƑĚē ūŠ ČƭŕƥĿǄîƥĿūŠ ūlj ƎŕîŠƥîƥĿūŠƙ ƭƎ ƥū ƥĺĚ date they become capable of bearing fruit are accumulated under Bearer plant under development (Immature) and then capitalised as a Bearer plant (Mature) to be depreciated over their estimated useful life. The plantation destroyed due to calamity, disease or any other reasons whether capitalised as Bearer plant (Mature) or ċĚĿŠij ČîƑƑĿĚē ƭŠēĚƑ ĚîƑĚƑ ƎŕîŠƥ ƭŠēĚƑ ēĚǄĚŕūƎŞĚŠƥ ȳTŞŞîƥƭƑĚȴ îƑĚ ČĺîƑijĚē ūljlj ƥū ūŠƙūŕĿēîƥĚē ¬ƥîƥĚŞĚŠƥ ūlj ¡ƑūǛƥ îŠē Loss. 192 Atul Ltd | Annual Report 2018-19 Corporate Overview 01-22 Statutory Reports 23-105 Financial Statements 107-250