REA Group Ltd Annual Report 2021

Notes to the Consolidated Financial Statements for the year ended 30 June 2021 REA Group Ltd | Annual Report 2021 19. Business combinations (continued) (ii) Details of net assets and liabilities acquired The following table summarises the recognised amounts of assets acquired and liabilities assumed at the date of acquisition. The net identifiable assets acquired will be finalised within 12 months of the acquisition date, in line with accounting standards. Provisional accounting in the determination of net assets acquired has been applied and is detailed below: Fair value recognised on acquisition $ʼ000 Current assets Cash and cash equivalents 16,395 Trade and other receivables 2,591 Commission contract assets 106,034 Current tax assets 848 Total current assets 125,868 Non‑current assets Property, plant and equipment 2,809 Intangible assets 73,823 Other non-current assets 3,176 Commission contract assets 283,374 Total non‑current assets 363,182 Current liabilities Trade and other payables 16,655 Provisions 1,304 Contract liabilities 742 Interest bearing loans and borrowings 1,194 Commission liabilities 89,511 Total current liabilities 109,406 Non-current liabilities Other non-current payables 1,652 Deferred tax liabilities 27,415 Provisions 684 Interest bearing loans and borrowings 1,459 Commission liabilities 208,237 Total non-current liabilities 239,447 Net identifiable assets acquired Add: goodwill 103,548 Net assets 243,745 Cash flows on acquisition Cash consideration 243,745 Less: cash acquired (16,395) Outflow of cash 227,350 The goodwill acquired is attributable to Mortgage Choiceʼs strong market position and the expected future growth. Goodwill is not deductible for tax purposes. The Group has provisionally identified intangible assets including brand, franchisee relationships and software that have been provisionally separated from goodwill, net of deferred taxes. 106 Financial Statements