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ESR Group Limited Annual Report 202415STRATEGIC REPORTSCORPORATE GOVERNANCEFINANCIAL STATEMENTSMessage from Group Co-founders and Co-CEOs\ TRACK RECORD IN LOGISTICS REAL ESTATE HAS GIVEN US A HEAD START IN THE STRATEGIC PIVOT WE MADE TOWARDS DATA CENTRES AND INFRASTRUCTURE.\STUART GIBSON AND JINCHU SHENGroup Co-founders and Co-CEOsDear Shareholders,ESR demonstrated resilience amidst a challenging macroeconomic environment through 2024. With your support and that of our capital partners, customers, and employees, we achieved progress on the strategic business priorities that have strengthened our Group%u2019s position and contributed to the broader economy and communities where we operate.Driving long-term sustainable growth and shareholder value remains a key focus as we continue to navigate the impact of strong headwinds.In 2024, we stayed focused on our asset-light strategy that guided ESR%u2019s ongoing balance sheet optimisation. We completed over US$1 billion of asset syndications, including the injection of seed assets into ESR China REIT. AfurtherUS$2.7billionofbalancesheetassetsandnoncore divestments are earmarked for subsequent sell-down as part of our aim to achieve an optimal capital structure. By freeing up capital and investing into our core areas, we are driving recurring fee income growth as AUM scales.Our sharpened New Economy focus on logistics real estate, data centres, and infrastructure, coupled with our other non-core divestments to streamline and simplify the business, have positioned ESR to realise long-term value for investors, customers, partners, and employees.Further, having accelerated the integration of LOGOS into ESR in 2024, we are now operating a unified panAPAC business to maximise the impact and value of our integrated fund management and development platform for stakeholders.Importantly, our Operational Excellence and One ESR commitments have advanced our purpose of providing investors and customers with space and investment solutions for sustainable growth. These commitments are part of our five strategic priorities for FY2025, alongside Profitability and Enterprise Value, Balance Sheet Optimisation, and Corporate Citizenship.