Unconsolidated subsidiaries

Learning objectives

• Identify the disclosures required from an investment entity about its unconsolidated subsidiaries.L3

Normative references

• IFRS 12 §19AAn investment entity that is required to apply the exception to consolidation discloses that fact.
• IFRS 12 §19BFor each unconsolidated subsidiary, the investment entity discloses the name, the principal place of business, the proportion of ownership interest held and, if different, the proportion of voting rights held.
• IFRS 12 §19CAn investment entity that is the parent of another investment entity also provides the disclosures in 19B(a) to (c) for investments that are controlled by its investment entity subsidiary; it may do so by including in its financial statements the financial statements of that subsidiary.

Original summaries of the paragraphs (reference register), never a quotation of the standard.

1 question

• Orient SA is an investment entity required to apply the exception to consolidation; it holds an unconsolidated subsidiary, Zeta SA (case facts). What information does IFRS 12 ask it to provide?L3