Ascendas REIT - Annual Report 2021

Corporate Governance a transaction, he or she is to abstain from participating in the review and approval process in relation to that transaction. The ARC and the Trustee received quarterly reports on IPTs reviewed by BDO that they were on normal commercial terms and are not prejudicial to the interests of Ascendas Reit and its minority Unitholders. Details of all Interested Person Transactions (equal to or exceeding S$100,000 each in value) entered into by Ascendas Reit in FY2021 are disclosed on page 261 of this Annual Report. Dealing with Conflicts of Interest The following principles and procedures have been established to deal with potential conflicts of interest which the Manager (including its Directors, key management personnel and employees) may encounter in managing Ascendas Reit: (a) the Manager is a dedicated manager to Ascendas Reit and will not manage any other REIT or be involved in any other real property business; (b) all resolutions at meetings of the Board in relation to matters concerning Ascendas Reit must be decided by a majority vote of the Directors, including at least one ID; (c) in respect of matters in which CLI and/or its subsidiaries have an interest, whether direct or indirect, any nominees appointed by CLI and/or its subsidiaries to the Board will abstain from voting. In such matters, the quorum must comprise a majority of IDs and shall exclude such nominee Directors of CLI and/or its subsidiaries; (d) in respect of matters in which a Director or his or her associates have an interest, whether direct or indirect, such interested Director will abstain from voting. In such matters, the quorum must comprise a majority of the Directors and shall exclude such interested Director(s); (e) if the Manager is required to decide whether or not to take any action against any person in relation to any breach of any agreement entered into by the Trustee for and on behalf of Ascendas Reit with an affiliate of the Manager, the Manager is obliged to consult with a reputable law firm (acceptable to the Trustee) which shall provide legal advice on the matter. If the said law firm is of the opinion that the Trustee, on behalf of Ascendas Reit, has a prima facie case against the party allegedly in breach under such agreement, the Manager is obliged to pursue the appropriate remedies under such agreement; and (f) at least one-third of the Board shall comprise IDs. In respect of voting rights where the Manager would face a conflict between its own interests and that of Unitholders, the Manager shall cause such voting rights to be exercised according to the discretion of the Trustee. Dealings in Securities The Manager has adopted a securities dealing policy for the officers and employees which applies the best practice recommendations in the Listing Manual. Under this policy, Directors and employees of the Manager as well as certain relevant executives of the CLI Group (together, the Relevant Persons) are required to refrain from dealing in Ascendas Reit’s securities (i) while in possession of material unpublished price-sensitive information, and (ii) during the one-month period immediately preceding, and up to the time of the announcement of Ascendas Reit’s half-year and full-year financial statements during a financial year. Prior to the commencement of each relevant black-out period, an email would be sent to all the Relevant Persons to inform them of the duration of the black-out period. The Manager also does not deal in Ascendas Reit’s securities during the same black-out period. In addition, Directors and certain employees identified as “Key Insiders” are prohibited from dealing in the securities of Ascendas Reit, except during the open trading window (being one calendar month commencing from the relevant date of announcement of Ascendas Reit’s results) provided that they are not in possession of undisclosed material or price-sensitive information. Employees and Capital Markets Services License Appointed Representatives (CMSL Representatives) of the Manager are also required to give a pre- trading notification to the CEO and the Compliance department before any dealing in Ascendas Reit’s securities. This policy also provides for the Manager to maintain a list of persons who are privy to price-sensitive information relating to the Ascendas Reit Group as and when circumstances require such a list to be maintained. Ascendas Reit 140