Company: MAGH
Filing Date: 2025-03-20
Form Type: DRS/A
Source: 0001641172-25-000048
Chunk: 180

Company: Magnitude International Ltd
Filing Date: 2025-03-20
Form: DRS/A
Chunk 180
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 of BNL’s share capital, respectively.

The Company has concluded that Mr. Lim controls BNL since its incorporation, even during the period when he holds less than half of the voting right of BNL. In making the judgement, the Company considered the purpose and design of BNL, assessed that Mr. Lim is the key decision-making authority in all the major strategic and operational decisions, Mr. Lim has the practical ability to direct relevant activities of BNL unilaterally including the ability to use his power over BNL to affect the amount of the investor’s return, no major operational and financial decisions that must be referred to a shareholder vote and operational barriers to remove Mr. Lim.

Transactions with non-controlling interest

On April 5, 2023, Mr. Lim acquired the non-controlling interest’s entire equity stake in BNL and became its sole shareholder for a cash consideration of SGD200,000. Immediately before the purchase, the carrying amount of the existing 60% non-controlling interest in BNL was SGD1,696,763. The Group recognized a decrease in non-controlling interests of SGD1,696,763 and a decrease in equity attributable to owners of the parent of SGD1,696,763. The effect on the equity attributable to the owner of BNL during the financial year ended April 30, 2023 is summarized as follows:

|                                                                                     |     |      2023 |
|                                                                                     |     |       SGD |
| Carrying amount of non-controlling interest acquired                                |     | 1,696,763 |
| Non-controlling interest’s 60% equity interest in BNL recognized in merger reserve* |     |   150,000 |
| Consideration paid by BNL to non-controlling interest*                              |     |         - |
| Difference recognized directly in equity                                            |     | 1,846,763 |

*The non-controlling interest’s 60% equity interest represents SGD150,000 share capital in BNL is deemed acquired under common control by the Company. The consideration was settled by Mr. Lim to the non-controlling interest. No cash flows transactions between BNL and the non-controlling interest. The difference between the consideration paid by the Company and the share capital acquired is recognized in merger reserve under common control (Note 10).

Organization and reorganization

In order to facilitate the Company’s initial public offering, the Company completed a series of reorganizationtransactions (the “Reorganization”), whereby, each of the operating and holding