161
Property, plant and equipment
The fair value measurement has increased the book value of
“Plant and machinery” by Euro 5 million.
Intangible assets
The fair value measurement has identified an additional value
of Euro 2 million for Customer relationships.
The acquisition has given rise to Euro 6 million in goodwill,
which has been recorded in “Intangible assets”.
If the company had been consolidated from 1 January 2012, its
incremental contribution to sales of goods and services would
have been Euro 16 million, while its contribution to the result
for 2012 would have been Euro 1 million.
Assets and liabilities recognised as a result of acquisition are
classified in Level 3 of the fair value hierarchy.
Global Marine Systems Energy Ltd (now renamed Prysmian
PowerLink Services Ltd)
On 15 November 2012, the Prysmian Group acquired, through
its subsidiary Prysmian UK Group Limited, control of
Global Marine Systems Energy Ltd (now renamed Prysmian
PowerLink Services Ltd) from Global Marine Systems Ltd.
The total consideration paid for the acquisition was
approximately Euro 52 million, of which Euro 17 million paid to
the seller by Prysmian UK Group Limited and Euro 35 million
settled by repaying the debt that the company owed to its
former shareholder.
Acquisition-related costs amounted to around Euro 1.6
million, of which Euro 0.6 million were incurred in the
previous year. These costs have been classified in “Other
expenses”, before tax effects of Euro 0.4 million, of which
Euro 0.1 million accounted for in the previous year.
In compliance with IFRS 3, the fair values of the assets,
liabilities and contingent liabilities have been determined on
a final basis.
(in millions of Euro)
Total acquisition cost (A)
21
Dividend distribution (B)
11
Fair value of net assets acquired (C)
26
Goodwill (A)+(B)-(C)
6
Financial outlay for acquisition
32
Cash and cash equivalents held by acquired company
(9)
Acquisition cash flow
23
In compliance with IFRS 3, the final fair values of the assets, liabilities and contingent liabilities are as follows:
(in millions of Euro)
Fair value
Property, plant and equipment
11
Intangible assets
2
Financial receivables - non-current
3
Inventories
3
Trade and other receivables
16
Trade and other payables
(13)
Provisions for risks
(1)
Borrowings from banks and other lenders
(4)
Cash and cash equivalents
9
Net assets acquired (C)
26
Details of the cost of acquisition of Telcon Fios e Cabos para Telecomuniçaoes S.A. and the related cash outlay are as follows:
