Annual Report 2019

China Merchants China Direct Investments Limited Annual Report 2019 80 NOTES TO THE CONSOLIDATED FINANCIAL STATEMENTS For the year ended 31 December 2019 1. GENERAL INFORMATION China Merchants China Direct Investments Limited (the “ Company ”) is a public limited company incorporated in Hong Kong and its shares are listed on The Stock Exchange of Hong Kong Limited. The addresses of the registered office and principal place of business of the Company are disclosed in the corporate information of the Annual Report. The Company and its subsidiaries are collectively referred to as the “ Group ”. The Company acts as an investment holding company. The activities of the subsidiaries are set out in note 30. The major sources of income of the Group arising in the course of the ordinary activities which are the revenue of the Group are net gain (loss) on financial assets at fair value through profit or loss (“ FVTPL ”) and investment income. The functional currency of the Company is Renminbi (“ RMB ”). For the purpose of convenience of the consolidated financial statements users, the consolidated financial statements are presented in United States dollars (“ USD ”). 2. APPLICATION OF AMENDMENTS AND INTERPRETATION TO HONG KONG FINANCIAL REPORTING STANDARDS (“HKFRSs”) Amendments and interpretation to HKFRSs that are mandatorily effective for the current year The Group has applied the following amendments and interpretation to HKFRSs issued by the Hong Kong Institute of Certified Public Accountants (“ HKICPA ”) for the first time in the current year that are relevant to the business operation of the Group: HK(IFRIC) - Int 23 Uncertainty over income tax treatments Amendments to HKAS 28 Long-term interests in associates and joint ventures Amendments to HKFRSs Annual improvements to HKFRSs 2015 - 2017 Cycle The application of the above amendments and interpretation to HKFRSs in the current year has had no material impact on the Group’s financial performance and positions for the current and prior years and/or on the disclosures set out in these consolidated financial statements. Amendments to HKFRSs in issue but not yet effective The Group has not early applied the following amendments to HKFRSs that have been issued but are not yet effective that are relevant to the business operation of the Group: Amendments to HKFRS 3 Definition of a business 1 Amendments to HKFRS 10 and HKAS 28 Sale or contribution of assets between an investor and its associate or joint venture 2 Amendments to HKAS 1 and HKAS 8 Definition of material 3 1 Effective for business combinations and asset acquisitions for which the acquisition date is on or after the first annual period beginning on or after 1 January 2020. 2 Effective for annual periods beginning on or after a date to be determined. 3 Effective for annual periods beginning on or after 1 January 2020.