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COMBINED CORPORATE GOVERNANCE REPORT
STRUCTURE OF THE TRUST GROUP AND THE
SHARE STAPLED UNITS
The Trust, managed by the Trustee-Manager, was
constituted under the laws of Hong Kong on 1 January 2014
by the Trust Deed. The Trustee-Manager, as the
trustee-manager of the Trust, holds the legal interests in
the ordinary shares of the Company whilst the beneficial
interests in such ordinary shares form a component of
the Share Stapled Units. Each Share Stapled Unit is jointly
issued by the Trust and the Company and is a combination
of: (a) a unit in the Trust; (b) the beneficial interest in a
specifically identified ordinary share of the Company linked
to the unit and held by the Trustee-Manager as legal owner
in its capacity as trustee-manager of the Trust; and (c) a
specifically identified preference share of the Company
stapled to the unit. The chart on page 39 is a simplified
version of the structure of the Trust Group and the Share
Stapled Units.
The Trust and the Company are both listed on the Main
Board of the Stock Exchange, and are subject to the
provisions of the Listing Rules. Pursuant to the Trust Deed,
the Trustee-Manager is responsible for compliance by the
Trust with the Listing Rules applicable to the Trust and other
relevant laws and regulations, the Company is responsible
for compliance by the Company with the Listing Rules
applicable to the Company and other relevant laws and
regulations, and each of the Trustee-Manager and the
Company will co-operate with each other to ensure that
each party complies with the Listing Rules obligations and to
co-ordinate disclosure to the Stock Exchange.
The Boards of the Trustee-
Manager and the Company
present their corporate
governance report on a
combined basis for the year
ended 31 December 2016.
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HK ELECTRIC INVESTMENTS