Ann: Appendix 3B, page-5

I think I've figured it out...

Here's the link to a description of what they do:
http://www.yqholdings.com/contactus/contact.html

Obviously from the Appendix 3B, they've been assigned 1,000,000 shares in the company at 25c ($250k AUD) as 'part consideration for services rendered'.

Furthermore, if you read into the Appendix 4C that was released today, you'll find the following:

2.1 Details of financing and investing transactions which have had a material effect on consolidated assets and liabilities but did not involve cash flows
- Investment in PT Isentric Technology Indonesia
- Increased in shares capital of Datamorph Services Sdn. Bhd.

So it seems they've paid them in part via share allocation for services rendered to invest in the Indonesian business.

It's very interesting that they took 25cps as the issue price, as they could have bought on market for less...


A question for anyone who can answer it - given they issued stock to a supplier, does this appear as an expense on the Income Statement? (I've never come across this before...)