ASSETS HELD FOR SALE

12 Months Ended

Jun. 30, 2019

Assets Held-for-sale, Not Part of Disposal Group [Abstract]

ASSETS HELD FOR SALE

Penang Property

During the fourth quarter of 2015, the operations in Malaysia planned to sell its factory building in Penang, Malaysia. In accordance with ASC Topic 360, during fiscal year 2015 the property was reclassified from investment property, which had a net book value of RM 371, or approximately $98, to assets held for sale, since there was an intention to sell the factory building. In May 2015, Trio-Tech Malaysia was approached by a potential buyer to purchase the factory building. On September 14, 2015, application to sell the property was rejected by Penang Development Corporation (PDC). The rejection was because the business activity of the purchaser was not suitable to the industry that is being promoted on said property. PDC made an offer to purchase the property, which was not at the expected value and the offer expired on March 28, 2016 and no further conversations with PDC have occurred since. Management received an expression of interest from a potential buyer in acquiring the property during second quarter of fiscal year 2019 and the sale was under negotiation with the potential buyer during third quarter of fiscal year 2019. Sales and Purchase Agreement was finalized with the potential buyer during fourth quarter of fiscal year 2019. The completion of the sale is subject to the approval by Penang Development Corporation. The net book value of the building was RM371, or $89, as at June 30, 2019 and RM371, or $91, as at June 30, 2018.

The following table presents the Company’s assets held for sale in Malaysia as of June 30, 2019 and June 30, 2018. The exchange rate is based on the exchange rate as of June 30, 2015 published by the Monetary Authority of Singapore. 

				For the Year Ended June 30,
				2019			2018
	Investment Date / Reclassification Date	Investment Amount		Investment Amount		Investment Amount
		(RM)		(U.S. Dollars)		(U.S. Dollars)
Penang Property Reclassification from investment property	June 30, 2015	681	181		181
Currency translation		-		(15)			(13)
		681		166			168
Accumulated depreciation on rental property	June 30, 2015	(310	)	(83)			(83)
Currency translation		-		6			6
		(310	)	(77)			(77)
Net investment in rental property - Malaysia		371		89			91