procedures: • Agreed purchase consideration to the share sale agreement; • Obtained and discussed the PPA report prepared by an external party for the acquisition to assess the appropriateness of the identification of assets acquired and liabilities assumed; • Assessed the appropriateness of key assumptions, in particular, asset useful life, plant performance, electricity prices and operating expenses, used in the underlying cash flows projections adopted in the PPA exercise by comparing these assumptions against due diligence reports, existing agreements and market outlook; • Engaged our internal valuation experts to perform the following: - assess the appropriateness of the methodology adopted by management in determining the fair value of the identified assets acquired and liabilities assumed in accordance with MFRS 13 “Fair Value Measurement”; - assess the reasonableness of valuationof the intangible assets acquired by way of benchmarking precedent market transactions involving companies in a similar industry and recomputation based on independent market data; and - assess the reasonableness of the discount rate used in the underlying cash flow projections; INDEPENDENT AUDITORS’ REPORT To The Members of Tenaga Nasional Berhad (Incorporated In Malaysia) (Registration No. 199001009294 (200866-W)) FINANCIAL STATEMENTS Sec 5 367 REPORT ON THE AUDIT OF THE FINANCIAL STATEMENTS (CONTINUED) Key audit matters (continued) Key audit matters How our audit addressed the key audit matters Business Combination – Acquisitions during the financial year (continued) Acquisitions of Dullarbtons Limited and Elipsgeen Limited On 20 December 2023, the Group completed its acquisitions of 100% equity interests in both Dullarbtons Limited and Elipsgeen Limited for a purchase consideration of RM494.0 million. The Group assessed the acquisitions of these subsidiaries as a business acquisition in accordance with MFRS 3 “Business Combinations”. Based on the PPA exercise performed, the fair value of identifiable net assets recognised on