Franchise Brands plc Annual Report and Accounts 2018 69 Financial Statements Governance Strategic Report 19 Subsidiaries The fixed asset investments held by the Company are as follows: £’000 Cost At 1 January 2017 972 Additions in year 29,125 At 31 December 2017 30,097 Additions in year 1,606 At 31 December 2018 31,703 During the year the Group underwent a corporate simplification process, by which the Company became the holding company of all the main trading entities, and two previously intermediate holding companies became dormant. This resulted in an increase in the level of fixed asset investments held by the Company. The subsidiaries of the Company, all of which are 100% owned, which have been included in the consolidated financial statements, are as follows: Name Principal activity 2018 % 2017 % FB Holdings Limited Dormant 100 100 Metro Rod Limited Operation and management of a franchise business 100 100 MRE Drainage Limited Operator of drainage franchise 100 – ChipsAway International Limited Operation and management of a franchise business 100 100 Edwin Investments Limited Dormant 100 100 Oven Clean Domestic Limited Operation and management of a franchise business 100 100 MyHome Marketing Limited Operation and management of a franchise business 100 100 Oven Clean (Ontario) Limited Operation and management of a franchise business 100 100 Barking Mad Limited Operation and management of a franchise business 100 100 Kemac Services Limited Dormant 100 100 DentsAway Limited Dormant 100 100 MRB Drainage Limited Dormant 100 100 The principal country and place of business of all the above companies is England and Wales. The registered office and principal place of business is Ashwood Court, Tytherington Business Park, Macclesfield, SK10 2XF. 20 Share capital and other reserves Allotted, called up and fully paid 2018 No. of shares 2017 No. of shares At 1 January 77,732,033 47,881,286 Placing in relation to acquisition of Metro Rod – 29,850,747 At 31 December 77,732,033 77,732,033 Share capital comprises the nominal value of the Company’s Ordinary shares of 0.5 pence each. Share premium: The share premium reserve is the premium paid on the Company’s 0.5 pence Ordinary shares. Share-based payment reserve: The share-based payment reserve represents the movement in cost of equity- settled transactions in relation to the long-term incentive plan. Merger reserve: The merger reserve represents the premium above the nominal value of the equity issued to the owners of Barking Mad in relation to its acquisition by the Company on 31 October 2018. Treasury reserve: This represents the amount that the Company paid on its own shares held in Treasury. At the year end the Group held 200,000 shares (2017: nil shares) in treasury for the purpose of the future settlement of equity settled share based compensation. Movements on these reserves are set out in the consolidated statement of changes in equity.