During FY2025, the ARC reviewed and approved both the internal and external auditors’ plans to ensure that the scope of audit was sufficient for purposes of reviewing the significant internal controls of MUST and the Manager. Such significant controls comprise financial, operational, compliance and information technology controls. All audit findings and recommendations put up by the internal and external auditors were forwarded to the ARC. Significant issues were discussed at these meetings. Taking cognisance that the external auditor should be free from any business or other relationships with MUST that could materially interfere with its ability to act with integrity and objectivity, the ARC undertook a review of the independence of the external auditor and gave careful consideration to MUST’s relationships with them during FY2025. In determining the independence of the external auditor, the ARC reviewed all aspects of MUST’s relationships with it, including the processes, policies and safeguards adopted by MUST and the external auditor relating to audit independence. The ARC also considered the nature of the provision of the non-audit services in FY2025 and the corresponding fees and ensured that the fees for such non-audit services did not affect the independence of the external auditor. Based on the review, the ARC is of the opinion that the external auditor is, and is perceived to be, independent for the purpose of MUST’s statutory financial audit. In the review of the financial statements, the ARC has discussed with Management the accounting principles that were applied and their judgement of items that might affect the integrity of the financial statements. The following significant matters impacting the financial statements were discussed with Management and the external auditor. Key Audit Matter Review by the ARC Valuation of investment properties and asset held for sale The ARC evaluated the qualifications, competence and independence of the valuer, Cushman & Wakefield of Texas, Inc. In addition, the ARC discussed the portfolio property valuation methodologies and assumptions used by the valuers with Management, focusing on significant changes in fair value measurements and key drivers of the changes. For investment properties, the ARC considered the external auditors' assessment of the appropriateness of valuation methodologies and reasonableness of the underlying key assumptions applied in the valuation of investment properties. Based on the review, the ARC was satisfied with the valuation process, the methodologies used and the valuation of investment properties as adopted and disclosed in the financial statements as at 31 December 2025. With respect to the investment property classified as held for sale, the ARC noted that its fair value was based on the estimated net sale consideration to be realised from the divestment. The ARC reviewed this approach and was satisfied that the asset's fair value as at 31 December 2025 was reflected appropriately. The above is included as a key audit matter in the Auditor’s Report for FY2025. External Audit The ARC conducts an assessment of the external auditor of MUST, and recommends its appointment, reappointment or removal to the Board of EY. The assessment is based on factors such as the performance and quality of its audit, the cost effectiveness and the independence and objectivity of the external auditor. The ARC also makes recommendations to the Board on the remuneration and terms of engagement of the external auditor. At the Annual General Meeting held on 30 April 2025, EY was reappointed by Unitholders as the external auditor of MUST for the financial year ending 31 December 2025, until the conclusion of the next Annual General Meeting. In accordance with Rule 713 of the Listing Manual, the audit partner responsible for the engagement may serve for a maximum of five consecutive annual audits and may return after a two-year cooling-off period. The incumbent audit partner, Ms Low Yen Mei has led the audit since FY2021, and FY2025 marks the completion of her permissible tenure under these requirements. A new audit partner will assume responsibility for the engagement from FY2026 to ensure compliance with the mandatory rotation framework. The Manager confirms, on behalf of MUST, that the appointment of EY and the rotation of the audit partner are in full compliance with Rule 712, Rule 713 and Rule 715 of the Listing Manual as at FY2025. The ARC, in determining the independence and objectivity of EY, reviewed all aspects of their relationships with them, including the processes, policies and safeguards adopted by MUST and EY relating to audit independence. The ARC also considered the nature and volume of the provision of the non-audit services in FY2025 and the corresponding fees. CORPORATE GOVERNANCE / 86 / EXPANDING HORIZONS
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