CapitaLand China Trust : Presentations Slides

CapitaLand China Trust

London Non-Deal Roadshow

8 - 10 June 2022

CapitaMall Xizhimen, Beijing, China

Disclaimer

This presentation may contain forward-looking statements. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, availability of real estate properties, competition from other developments or companies, shifts in customer demands, shifts in expected levels of occupancy rate, property rental income, charge out collections, changes in operating expenses (including employee wages, benefits and training, property operating expenses), governmental and public policy changes and the continued availability of financing in the amounts and the terms necessary to support future business.

You are cautioned not to place undue reliance on these forward-looking statements, which are based on the current view of management regarding future events. No representation or warranty express or implied is made as to, and no reliance should be placed on, the fairness, accuracy, completeness or correctness of the information or opinions contained in this presentation. Neither CapitaLand China Trust Management Limited ("Manager") nor any of its affiliates, advisers or representatives shall have any liability whatsoever (in negligence or otherwise) for any loss howsoever arising, whether directly or indirectly, from any use of, reliance on or distribution of this presentation or its contents or otherwise arising in connection with this presentation.

The past performance of CapitaLand China Trust ("CLCT") is not indicative of future performance. The listing of the units in the CLCT ("Units") on the Singapore Exchange Securities Trading Limited (SGX-ST) does not guarantee a liquid market for the Units. The value of the Units and the income derived from them may fall as well as rise. Units are not obligations of, deposits in, or guaranteed by, the Manager or any of its affiliates. An investment in the Units is subject to investment risks, including the possible loss of the principal amount invested. Investors have no right to request that the Manager redeem or purchase their Units while the Units are listed on the SGX-ST. It is intended that holders of Units may only deal in their Units through trading on the SGX-ST.

This presentation is for information only and does not constitute an invitation or offer to acquire, purchase or subscribe for the Units.

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Future-Ready and Resilient Portfolio

First and Largest China-FocusedS-REIT

Number of Assets Located in Gross Floor Area

11	5	4	12	2.0
Retail	Business	Logistics	cities	mil sq m
	Park	Park

Occupancy

Retail: 95.4%

Business Park: 94.7%

Logistics Park: 97.6%

Total Asset Valuation1

24.8	Retail: RMB18.2 billion
Business Park: RMB4.9 billion
RMB
billion	Logistics Park: RMB1.7 billion

Notes:

1. Based on valuation on a 100% basis as at 31 December 2021.
2. Based on FY 2021 DPU of 8.73 S cents and unit price of S$1.16 as at 31 May 2022.

Market Capitalisation

~S$2

billion

Distribution Yield

7.5%2

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To Update

Backed by Sponsor With Extensive Experience in China

Dedicated S-REIT for CapitaLand's China Business

• CapitaLand is one of the leading real estate players in China with an established presence ~30 years
• Leverage on Sponsor's Deep Domain Knowledge - To tap on CapitaLand's expertise and network as CLCT seeks to capture growth opportunities in China
• Sponsor Plans to Strengthen Presence in New Economy Asset Classes - Intends to grow new economy asset investments in China to S$5 billion over the next few years

CLCT is the dedicated S-REIT for CapitaLand Group's non- lodging China Business with acquisition pipeline access to CapitaLand's China assets.

Sponsor's Pipeline1

12		29
	Commercial/ Integrated
Retail assets2
Commercial/	Development assets
Retail	Integrated
	Developments

• CLCT expanded our Investment Mandate

beyond Retail in September 2020 - Able to fully co-partnerSponsor's growth trajectory with

	access to quality and diversified pipeline of		8
	commercial and new economy assets in China	New Economy*	New economy assets2
		*Including Logistics, Industrial
			and Business Parks
Notes:
1.	As at 31 December 2021
2.	Retail and new economy assets that CLCT do not have ownership of in Sponsor's Portfolio (except AscendasXinsu Portfolio).

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1Q 2022 Highlights

	Financials and Operations	Prudent Capital Management
Gross Revenue	Retail
(RMB million)

+24.0% 489.9
395.0
1Q 2021	1Q 2022

• January - February Traffic and Sales increased YoY until the recent COVID-19wave in March

✓ +0.3% 1Q 2022 YoY increase in sales
✓ +8.0% 1Q 2022 YoY increase in sales	• Successfully secured the offshore refinancing
per traffic
of S$180.0 million due in FY 2022 and received
• Recorded flat rental reversion for 1Q 2022
bank commitment from onshore loan due in
Retail portfolio
2023

Net Property Income

(RMB million)

+30.4%
264.2	344.5
1Q 2021	1Q 2022
Notes:

New Economy - Business Parks and Logistics Parks

• Full contributions from Business Parks (compared to partial contribution for 1Q 2021) and new contributions from Logistics Parks
• Growth in occupancy for Logistics Parks since acquisitions
• Registered +6.5% rental reversion for 1Q 2022 New Economy portfolio

• Strong support from onshore and offshore banks
• • Enjoy competitive cost of debt of 2.64% with average term to maturity of 3.2 years
  • Diversified funding sources through S$1 Billion MTN programme with well- staggered tenures
• Proactive hedging of interest rate - 71% of loans at fixed interest rate2
• CLCT's FX hedging policy is to hedge at least 50% of undistributed income into SGD

1. Essential Sectors are defined as Supermarket, F&B and Services- trade categories from the retail sector. Growth Sectors are defi ned as Electronics, Engineering, E-commerce, ICT, Financial Services, Biomedical Sciences, Pharmaceuticals and Logistics & Supply Chain Management - trade categories from the new economy sector.
2. Exclude RMB denominated loans.

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