Subsidiary Cathay Securities Acquires Right-of-Use Assets from Cathay United Bank
Original: 代子公司國泰綜合證券公告向國泰世華商業銀行(股)公司取得使用權資產
Summary
Cathay Financial is filing on behalf of its subsidiary Cathay Comprehensive Securities Co., Ltd., disclosing the acquisition of right-of-use assets from fellow group subsidiary Cathay United Bank Co., Ltd. Under IFRS 16, this reflects a lease arrangement between two intra-group entities, resulting in recognition of a right-of-use asset on Cathay Securities' balance sheet. Full body available on MOPS.
Full Translation
On behalf of its subsidiary Cathay Comprehensive Securities Co., Ltd., Cathay Financial Holdings announces that Cathay Securities has obtained right-of-use assets from Cathay United Bank Co., Ltd. (a stock company and fellow subsidiary within the Cathay Financial group). Under IFRS 16 lease accounting standards, a 'right-of-use asset' arises when a lessee recognises its right to use an underlying asset — typically office premises or equipment — over a lease term. This filing indicates Cathay Securities has entered into or renewed a lease agreement with Cathay United Bank for use of certain assets, which must be disclosed as a related-party transaction between group subsidiaries. The arrangement is intra-group and administrative in nature. [Body not available — subject line only. See MOPS for full announcement.]