Notes to the Financial Statements For the financial year ended 31 December 2025 16. PERPETUAL SECURITIES (CONT’D) In March 2025, ESR-REIT issued $125.0 million of perpetual securities (the “Series 011 Perps”). The key terms and conditions are as follows: • Series 011 Perps confer a right to receive distribution at a rate of 5.75% per annum, with the first distribution rate reset falling on 20 March 2030 and subsequent resets occurring every 5 years thereafter at a rate equivalent to the prevailing five-year SORA-OIS plus the initial spread of 3.512 per cent; • the distribution will be payable semi-annually in arrears on a discretionary basis and will be non-cumulative in accordance with the terms and conditions of the Series 011 Perps; • the Series 011 Perps are redeemable at the option of ESR-REIT in whole, but not in part, on 20 March 2030 and every distribution payment date thereafter at the redemption amount, together with distribution accrued (including any arrears of distribution and any additional distribution amount) to (but excluding) the date fixed for redemption; and • the Series 011 Perps may also be redeemed upon the occurrence of certain other redemption events specified in the pricing supplement for the Series 011 Perps. The Series 008 Perps, Series 009 Perps and Series 011 Perps were issued under the Debt Issuance Programme, and are classified as equity instruments and recorded as equity in the Statement of Financial Position. The $456.1 million (2024: $405.2 million) presented in the Statement of Financial Position represents the carrying value of the $449.8 million (2024: $400.0 million) perpetual securities issued and includes the total return attributable to the perpetual securities holders from the last distribution date. The issue costs were deducted from the Unitholders’ funds. 17. NON-CONTROLLING INTEREST On 29 November 2024, ESR-REIT acquired a 51.0% equity interest in Tuas South Avenue Pte. Ltd., through the acquisition of 51.0% of the shares in LSLV Project 5 Pte. Ltd. (collectively referred to as “LSLV Project 5 Pte. Ltd. and its subsidiary”), which became subsidiaries from that date (see Note 5). On 10 February 2025, Tuas South Avenue Pte. Ltd. and LSLV Project 5 Pte. Ltd. were amalgamated into Tuas South Avenue Pte. Ltd.. The company was subsequently converted into a limited liability partnership, Tuas South Avenue LLP, on 8 July 2025. The non-controlling interest (NCI) relates to the following: Ownership interest held by NCI Name Principal place of business/ country of incorporation 2025 2024 % % Tuas South Avenue LLP (formerly known as LSLV Project 5 Pte. Ltd. and its subsidiary) Singapore 49.0 49.0 192 ESR-REIT ANNUAL REPORT 2025
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