34. Significant events during the year (continued)

QLPP is required to pay the Consultants a collective fee equivalent to twenty percent (20%) of the audited

net profits of QLPP ("Consultancy Fee") in equal proportions within one month from the date the audited

financial statements of QLPP for the relevant financial year end.

An option over the unissued shares ("Option") of QLPP was also granted to the Consultants. The Option

may be exercised by the Consultants at any time during the term of the Agreement and would constitute

twenty percent (20%) of the then issued and paid-up capital of QLPP.

34.8 In November 2008, the Group, via its wholly owned subsidiary, QL Fishmeal Sdn. Bhd. ("QLFM")

incorporated a subsidiary, PT QL Hasil Laut in the Indonesia. The amount invested in the subsidiary

amounted to RM6,881,000 (approximately USD1,999,000). Its intended principal activity is the

manufacturing of surimi and fishmeal.

The Group owns 99.95% equity interest in the subsidiary whereas the remaining 0.05% equity interest in

PT QL Hasil Laut is owned by Mr. Lim Tanto Wijoyo.

34.9 In November 2008, the Group, via its subsidiary, QLLF entered in a Sales and Purchase Agreement to

acquire a parcel of land described as Serian Occupation Ticket 4993 measuring more or less 5.4960

hectares from Dr. Ng Siew Thiam, a director of QLLF for a total consideration of RM687,000.

34.10 During the year, the Group also increased in its interest in certain subsidiaries via the acquisition of the

minority interest's shares as disclosed in Note 36.2 to the financial statement.

35. Significant events subsequent to balance sheet date

The Company repurchased 765,100 units of its own shares for a total cash consideration of RM2,073,000 from

the open market.

36. Acquisition and disposal of subsidiary and minority interests

36.1 Business combination

During the financial year, the Group via its wholly owned subsidiary, QLF acquired 100% equity interest of

QL Ansan Poultry Farms Sdn. Bhd. (formerly known as Heap Loong Poultry Farm Sdn. Bhd.) ("QLAPF") in

July 2008, for a cash consideration of RM5,719,000 satisfied by cash. In a separate sale and purchase

agreement, the Group disposed a leasehold land to QLAPF's previous shareholders for a consideration of

RM1,687,000 (see Note 15).

The principal activity of the subsidiary acquired is shown in Note 33 of the financial statements. During the

year ended 31 March 2009, the subsidiary contributed profits of RM3,808,000. If the acquisition had

occurred on 1 April 2008, management estimates that consolidated revenue and profit for the year would

have been RM1,404,601,000 and RM94,810,000 respectively.

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