Notes to the Group financial statements l Note 5.3

5.3 Non-current assets held for sale
 

Non-current assets (or disposal groups) are classified as held for sale when their carrying amount will be recovered principally through sale rather than use.

The asset or disposal group must be available for immediate sale in its present condition and the sale should be highly probable, with an active programme to find a buyer and the appropriate level of management approving the sale. Immediately before classification as held for sale, all assets and liabilities are remeasured in accordance with the Group’s accounting policies.

Non‑current assets (or disposal groups) held for sale are measured at the lower of the carrying amount and fair value less incremental directly attributable cost to sell and are not depreciated.

Gains or losses recognised on initial classification as held for sale and subsequent remeasurements are recognised in profit or loss, regardless of whether the assets were previously measured at revalued amounts.

  2015
Rm		     2014
Rm		  
Balance at beginning of the year 3 848     1 281  
Additions 255     6 899  
Re-allocations from property, plant and equipment 208     5 966  
Other additions 47     933  
Disposals (3 151)     (3 675)  
Effect of movements in exchange rates (942)     (657)  
Balance at end of the year 10     3 848  

The assets held for sale at 31 December 2015 relate to vehicles that MTN Nigeria Communications Limited has plans to dispose of.

The Group sold its mobile network towers in MTN Nigeria Communications Limited in two tranches to INT Towers Limited, a wholly owned subsidiary of Nigeria Tower InterCo B.V.

The first tranche of the tower sale closed on 24 December 2014 and involved the sale of 4 154 mobile network towers by MTN Nigeria Communications Limited to INT Towers Limited. The second tranche of the tower sales involved the sale of 4 696 mobile network towers and closed on 1 July 2015 (note 2.3).

The Group concluded transactions with IHS in which IHS acquired 550 mobile network towers from MTN Rwandacell Limited for US$48 million and 748 mobile network towers from MTN (Zambia) Limited for US$57 million during the prior year. IHS is a 100% shareholder of the tower companies set up in each country to manage the towers and other passive infrastructure. MTN Rwandacell Limited and MTN (Zambia) Limited will be the anchor tenants on commercial terms on the towers for an initial term of 10 years.