Company: VCIG
Filing Date: 2025-05-13
Form Type: 20-F
Source: 0001213900-25-042476
Chunk: 149

Company: VCI Global Ltd
Filing Date: 2025-05-13
Form: 20-F
Item: Item 19
Chunk 149
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ables, net of allowance and loan receivables, net of allowance as at December 31, 2024
are RM16,034,137, RM69,844,026andRM75,307,561(2023: RM11,291,476, RM13,068,732andRM36,576,536), respectively.

F-26

Depreciation
of plant and equipment

The Company depreciates plant and equipment
over their estimated useful lives after taking into account their estimated residual values. The estimated useful life reflects management’s
estimate of the period that the Company intends to derive future economic benefits from the use of the Company’s plant and equipment.
Changes in the expected level of usage and technological developments could affect the economics, useful lives and the residual values
of these assets which could then consequentially impact future depreciation charges.

The carrying amount of the Company’s
plant and equipment as at December 31, 2024 are RM2,561,914(2023: RM3,198,123).

Fair value of warrant liabilities

The Company accounts the warrants as
financial liabilities in accordance with IFRS 9 Financial Instruments and IFRS 13 Fair Value Measurement, where the terms of the instruments
do not meet the criteria for classification as equity under IAS 32 Financial Instruments: Presentation. The warrants are not considered
equity instruments because they are cash-settled and include features such as anti-dilution provisions, which prevent them from being
considered as “fixed-for-fixed” equity instruments.

These warrant liabilities are initially
measured at fair value on the date of issuance. After initial recognition, the warrant liabilities are remeasured at fair value at each
reporting period, with changes in fair value recognized through profit or loss in accordance with IFRS 9 Financial Instruments.

Fair value of warrant liabilities are
determined using Black Scholes option pricing model as valuation technique, which is suitable for instruments with complex features, including
anti-dilution adjustments. Key valuation inputs include the Company’s share price, expected volatility, time to expiry, risk-free
interest rate, and dividend yield, if applicable.

The warrant liabilities are classified
as Level 3 in the fair value hierarchy as defined by IFRS 13, due to the use of significant unobservable inputs. The Company reviews the
classification and valuation approach at each reporting date to ensure continued compliance with IFRS.

   4      FINANCIAL ASSETS MEASURED AT