Investments in Associated Companies
Investments in associated companies are accounted for by applying the equity method.
Upon initial recognition in 2005, ALTANA’s share of the net assets acquired of the 39 % investment in Aldoro amounted to € 2.8 million which resulted in the recognition of goodwill of € 4.4 million.
On June 25, 2014, ALTANA and Landa Corporation concluded an equity financing agreement under which ALTANA acquired a non-controlling interest in Landa Digital Printing for € 100 million. In July 2014, in a first step an interest of 20.0 % in Landa was acquired for a cash payment of € 50 million. On January 15, 2015, the second step of the agreement was effected through a further cash payment of € 50 million. As a result, ALTANA’s interest rose to 33.3 %. ALTANA’s share in the net assets at the date of the increase of its shareholdings amounted to € 28.9 million. An amount of € 80.5 million was allocated to development cost and no goodwill was identified.
The following financial information relates to all associated companies and represents 100 % and not the respective proportionate share in the companies:
The following table reconciles the carrying value of the investment to ALTANA’s share in the net assets: