The most recent financial statements have been prepared on the basis that Chapmans is an investment entity. However, the directors have considered this classification and considered this is not the most appropriate accounting policy for Chapmans.
Accordingly, AASB 128 Investments in Associates and Joint Ventures and AASB 10 Consolidated financial statements will be applied to Chapmans' investments. AASB 3 Business Combinations will apply to acquisitions during the 2016 financial year.
The half year report for Chapmans will be issued on the basis of the accounting policy change and the 2016 financial report will also be re-stated and reissued to reflect the change in accounting policy. The re-stated 2016 financial report is expected to be released on or before 14 September 2017.
At this stage the Company has not concluded what the material changes will be as a result of this change in accounting policy.
About Chapmans Limited
Chapmans Limited (ASX:CHP) is an ASX listed diversified investment company engaged in special situation investments across a diverse range of industries, with a focus and expertise in the mobile and advanced industrial technology sectors. It seeks to be an active strategic investor in high growth areas of the market, and to identify and work with emerging high growth companies.
The Company's investment philosophy and approach are based on a unique mix of high conviction and special situation features, characterised by advisory and equity investments structured around specific events and assets for both public and large private corporates.