Notes 1-10

10. Acquisition of businesses

During 2015 the Group acquired the following businesses:

1) On 31 December 2014, all of the trade and assets of Dairygold’s Continental European retail cheese business;

2) On 14 December 2015, 75% of the business of Shanghai based dairy manufacturer, Shanghai En Bo Lu Food Co, Limited China (Ambrosia Dairy); and

3) In May 2015, the Group purchased the outstanding non-controlling interest in Dairy Ingredients (UK) Limited.

Fair Value
Fair value of the net assets acquired at the date of acquisition were as follows:
Tangible assets (note 9)230
Non-controlling interest544
Net assets acquired1,442
Goodwill arising on acquisitions (note 8)8,777
Total acquired10,219
Satisfied by:
Cash consideration (includes €0.4m of acquisition costs)9,022
Deferred consideration1,197
Consideration paid in 2015:*
On current year acquisitions9,022
Deferred consideration on prior year acquisitions2,752

* Cash paid net of cash acquired €11,695k.

Book value equated to fair value of the net assets acquired, so no fair value adjustments arose on the net assets. The initial accounting for the acquisition of Ambrosia Dairy is provisional and will be finalised within twelve months of the date of acquisition with any subsequent adjustments necessary being recognised retrospectively.