Asia Pacific Strategic Investments : Sustainability Report 2022

Table of Contents

Board Statement	1
About This Report	2
Corporate Profile
About APS	3
Group Structure	4
Our Supply Chain	5
Our Sustainability Approach
Sustainability Governance	6
Stakeholder Engagement	7
Materiality Assessment	8
Material Topics
Environmental Protection	10
Human Capital	13
Compliance with Laws and Regulations	15
GRI Content Index	16

This document has been reviewed by the Company's sponsor, PrimePartners Corporate Finance Pte. Ltd. (the "Sponsor"). It has not been examined or approved by the Singapore Exchange Securities Trading Limited (the "Exchange") and the Exchange assumes no responsibility for the contents of this document, including the correctness of any of the statements or opinions made or reports contained in this document

The contact person for the Sponsor is Ms Lim Hui Ling, 16 Collyer Quay #10-00 Collyer Quay Centre Singapore 049318, [e-mail].

Board Statement

Dear Stakeholders,

The Board of Directors is pleased to present the fifth annual Sustainability Report for Asia- Pacific Strategic Investments Limited ("APS", and together with its subsidiaries, the "Group"). This Report provides a broad overview of our environmental, social and governance ("ESG") performance over the financial year ended 30 June 2022 ("FY2022"), underscoring our continuous commitment to creating long-term value for our stakeholders.

The COVID-19 pandemic has continued to plague the world over the past year, presenting many challenges for businesses and local communities alike. To deter the spread of COVID-19, the People's Republic of China ("PRC") government has continued stringent travel restrictions and safe distancing measures, which resulted in operational repercussions for the hospitality and real estate industries. The disruption caused by the COVID-19 pandemic has showed us the importance of building a business that is resilient and adaptable to change.

At APS, we are constantly exploring new opportunities to deliver sustainable, inclusive growth for our stakeholders. The Board is committed to aligning the Group's sustainability objectives with APS' strategic direction and providing oversight of all ESG- related matters. Having experienced uncertainties in the last three COVID-19 years , it is critical that we focus on measures to build our organisational resilience and manage ESG- related risks and opportunities that are encountered by the Group. The Board is committed to continuously improve upon our sustainability reporting, to better address our stakeholders' interests, and thereby enhance our accountability and transparency.

The Board would like to hereby express our gratitude and sincere appreciation to our shareholders, employees, customers, and business partners for your unwavering support over the years. In the years ahead, we will stay focused on mitigating the adverse impact the pandemic has on our business operations through prudent cost management and staying alert towards the risks and opportunities presented to the Group.

Sincerely,

Board of Directors

Asia-Pacific Strategic Investments Limited

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About This Report

This report has been prepared in accordance with the Global Reporting Initiative ("GRI") Standards - Core Option, chosen as it is a globally recognised standard for sustainability reporting, and its reporting principles are as follows:

		GRI Reporting Principles
	Materiality	Focusing on the ESG-related issues that impact business growth
	and are of utmost importance to stakeholders
	Stakeholder	Proactively responding to stakeholders' expectations and
	Inclusiveness	interests

Sustainability Context

Completeness

Presenting the Group's performance in the wider context of sustainability

Including information that is of significant ESG impact to allow stakeholders to accurately assess APS' performance

This report has also been prepared in compliance with Rules 711A and 711B of the Listing Manual Section B: Rules of Catalist of the Singapore Exchange Securities Trading Limited ("SGX-ST"), with reference to Practice Note 7.6 Sustainability Reporting Guide.

Information in this report covers our financial year from 1 July 2021 to 30 June 2022 ("FY2022"), and relevant historical performance data has been included. We have relied on internal verification by the management and the Board to ensure the accuracy of the data and information provided within the report. APS has not sought external independent assurance for this report but will consider doing so for future reports.

We are fully committed towards engaging our stakeholders and improving upon our sustainability reporting practices. We welcome any queries, comments, and suggestions on our sustainability report and related initiatives at [e-mail].

In line with our commitment to environmental sustainability, physical copies of this report will not be printed. The electronic edition of this report is available at: http://investor.asiastrategic.com.sg/sr.html and SGX-STwebsite: www.sgx.com.

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Corporate Profile

About APS

APS is a real estate developer focusing on the hospitality sector and retirement villages, which cater to the aspirations and needs of the growing elderly population in China and Southeast Asia.

The Group's project in Huzhou, Project Phoenix (凤凰洲项目), marked our first foray into China after we gained majority control of two property companies in Huzhou, Zhejiang province in 2017. Central to our development plan is an integrated residential-cum-active ageing hub supported by healthcare-related, commercial, educational and family entertainment facilities that promote overall well-being and life-long learning.

Digang Town (荻港村), where the project is situated, has a rich and unique cultural legacy with historical landmarks such as the famous mulberry dike fishpond (桑基鱼塘). We will therefore position Project Phoenix to not only promote the rich cultural heritage of the ancient city of Huzhou, but also to leverage on its farming and ecological background to develop a modern aquacultural industry in the area.

APS also owns and operates a luxury riverside boutique hotel strategically located adjacent to Project Phoenix. Managed by Zhejiang Tourism Investment Hotel Group (浙 江浙旅投酒店集团有限公司, "ZTIHG"), Anatole by Landison Hotel Huzhou (湖州雷迪森怿曼 酒店, "Landison Hotel") is well connected to ZTIHG's wide network of 157 hotels in 14 Chinese provinces under brands such as Landison and Deefly.

In October 2021, the Landison Hotel officially joined the Food & Beverage Association of Huzhou. This opens doors for us to participate in exhibitions, trainings and assessments, and learning trips organised by the association. It also allows us to work towards jointly promoting the development of the F&B industry in Huzhou.

The Group's operations in the PRC have been significantly impacted by the stringent travel restrictions and safe distancing measurements imposed by the local government to battle the spread of the coronavirus. Our hotel operations were temporarily suspended for approximately two months in March and April 2022, and the hotel building was used as a quarantine hotel during that period. In view of the current negative sentiments in the real estate sector in the PRC, there has also been a slowdown in the progress of finalising the development implementation and business plans for our Project Phoenix, and we are currently reviewing our business strategy for this project.

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