ESR IR 2021 - EN

83 ESR Interim Report 2021 Notes to Condensed Consolidated Financial Information 30 June 2021 27. EVENTS AFTER THE REPORTING PERIOD On 4 August 2021, the Company entered into an Acquisition Agreement in relation to a proposed business combination of the Group with ARA Asset Management Limited and its subsidiaries (“ ARA Group ”). Subject to cash consideration adjustment, the total consideration is US$5,192 million. Completion of the proposed acquisition is conditional upon the satisfaction (or, if applicable, waiver) of certain conditions, and it is currently expected that completion will take place in the fourth quarter of 2021 or the first quarter of 2022. On completion, ARA Group will become a subsidiary of the Company and accordingly, the financial results of the ARA Group will be consolidated into the accounts of the Company. On 13 August 2021, the Group through its wholly-owned subsidiary entered into a co-investment platform agreement with Stichting Depositary APG Strategic Real Estate Pool (“ APG ”) and a global institutional investor, to establish ESR China Development Platform (“ ECDP ”). ECDP is a new development fund which will invest in warehousing or warehousing and industrial mixed use properties located in selected markets of China to be sourced, developed and managed by the Group. ECDP consists of three offshore joint ventures of which ESR will hold 20% shareholding. ECDP has an initial capital commitment capped at US$1 billion in aggregate and if the re- up option is exercised, ESR shall contribute up to an amount equal to 20% of total capital commitment, capped at US$400 million. Subject to the satisfaction of conditions, it is expected that completion will take place by end of October 2021. 28. APPROVAL OF THE FINANCIAL INFORMATION The condensed consolidated financial information was approved and authorised for issue by the board of directors on 19 August 2021.