Annual Report 2019

ANNUAL REPORT 2019 219 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the year ended 31 March 2019 18. GOODWILL Goodwill arose from the acquisition of 73.75% equity interest in certain subsidiaries, which are engaged in car park operations, in previous year. The management determines that there is no impairment on the carrying amount of the goodwill based on the estimated cash generated from the car park operations in Australia. The calculation uses cash flow projections based on financial budgets approved by the management covering a 5-years period, and at a discount rate of 17% (2018: 17%) per annum. The management believes that any reasonably possible change in any of these assumptions would not cause the carrying amount of the goodwill exceeding its recoverable amount. 19. INTERESTS IN ASSOCIATES 2019 2018 HK$’000 HK$’000 Unlisted investments, at cost 824,459 718,076 Share of post-acquisition results, net of dividends received 237,267 225,808 1,061,726 943,884 Particulars of principal associates, which are incorporated and operating in Hong Kong except otherwise indicated, at the end of the reporting period are as follows: Name of associate Class of shares held Registered capital/ Proportion of nominal value of issued capital held by the Company indirectly Principal activities 2019 2018 Bermuda Investments Limited Ordinary 25% 25% Property investment Kanic Property Management Limited Ordinary 50% 50% Building management Omicron International Limited* Ordinary 30% 30% Investment holding Peacock Estates Limited Ordinary 25% 25% Property investment Destination Brisbane Consortium Integrated Resort Holdings Pty Ltd + Ordinary 25% 25% Property development and investment * Incorporated in the British Virgin Islands (“BVI“) and operating in HK + Incorporated and operating in Australia The above table lists the associates of the Group which, in the opinion of the directors of the Company, principally affected the results or assets of the Group. To give details of other associates would, in the opinion of the directors, result in particulars of excessive length.