Adcock Ingram Integrated Report 2018

ANNUAL FINANCIAL STATEMENTS Notes to the Group annual financial statements continued 88 ADCOCK INGRAM  Integrated Report 2018 13 OTHER FINANCIAL ASSETS 13.1 LONG-TERM RECEIVABLE (AT AMORTISED COST) 2018 2017 R‘000 R‘000 Black Managers Share Trust (BMT) Balance at beginning of year 39 840 72 095 Proceeds from sale (5 232) (32 038) Impairment (Refer Annexure G) (2 535) (217) 32 073 39 840 The maturity of the receivable from the BMT depends on how beneficiaries exercise their options until 30 September 2024 when the scheme is due to end or when a beneficiary dies. The proceeds on sale during the year is as a result of the capital contribution payments upon units being excercised after the lock-in period of R5.2 million (2017: R32.0 million). The impairment charge was as a result of the cost of the capital contribution exceeding the terminal amount (original capital contribution, increased by a notional return on the capital contribution and reduced by dividends distributed to the beneficiaries). Refer to Annexure B for further details. 13.2 INVESTMENTS Group Risk Holdings Proprietary Limited Balance at beginning of year 1 906 2 215 Disposal of shares – (318) Revaluation of investment through other comprehensive income 31 9 1 937 1 906 34 010 41 746 14 INVESTMENT IN JOINT VENTURES AND ASSOCIATE 14.1 INVESTMENT IN JOINT VENTURES The Group has a 49.9% share in Adcock Ingram Limited (India) and a 50% share in National Renal Care Proprietary Limited. The Group's interests in Adcock Ingram Limited (India) and National Renal Care Proprietary Limited are accounted for using the equity method in the consolidated financial statements. The carrying value of the investment is set out below. Adcock Ingram Limited (India) 251 155 246 019 National Renal Care Proprietary Limited 193 995 145 994 445 150 392 013 14.2 INVESTMENT IN ASSOCIATE The Group has a 25.1% share in Ayrton Drug Manufacturing Limited (Ghana), which is accounted for using the equity method in the consolidated financial statements. The carrying value of the investment is set out below: Cost of investment 5 133 5 133 Share of post acquisition profit 3 969 1 548 Exchange rate adjustments (1 088) (610) 8 014 6 071