KUALA LUMPUR: Al-Hadharah Boustead Real Estate Investment Trust’s (Boustead REIT) 15 plantation assets gained a 20.4% or RM215.85 million net surplus after a revaluation exercise to reflect market conditions as required under the fair value model of Financial Reporting Standard 140.
In a filing with Bursa yesterday, Boustead REIT said the carrying value of its plantation assets had increased to RM1.27 billion compared to its net book value of RM1.06 billion as at Sept 30.
“Under the fair value model of FRS 140, the fair value of the plantation assets shall reflect market conditions as at the balance sheet date (that is, the plantation assets are revalued every year. As the fund has adopted the fair value model stipulated in FRS 140, the fund will be required to conduct a yearly revaluation of all its real estate properties,” it said.
The valuations were undertaken by independent professional valuers C H Williams Talhar & Wong Sdn Bhd.
“Based on the unaudited financial statements of the fund as at 30 Sept, the net asset value per unit of the fund of RM1.43 will increase to RM1.77 upon incorporation of the revaluation surplus,” it said.
Boustead REIT fell four sen to RM1.55 yesterday with 4,000 shares traded.
This article appeared in The Edge Financial Daily, December 1, 2011.
In a filing with Bursa yesterday, Boustead REIT said the carrying value of its plantation assets had increased to RM1.27 billion compared to its net book value of RM1.06 billion as at Sept 30.
“Under the fair value model of FRS 140, the fair value of the plantation assets shall reflect market conditions as at the balance sheet date (that is, the plantation assets are revalued every year. As the fund has adopted the fair value model stipulated in FRS 140, the fund will be required to conduct a yearly revaluation of all its real estate properties,” it said.
The valuations were undertaken by independent professional valuers C H Williams Talhar & Wong Sdn Bhd.
“Based on the unaudited financial statements of the fund as at 30 Sept, the net asset value per unit of the fund of RM1.43 will increase to RM1.77 upon incorporation of the revaluation surplus,” it said.
Boustead REIT fell four sen to RM1.55 yesterday with 4,000 shares traded.
This article appeared in The Edge Financial Daily, December 1, 2011.
