Section 172(1) Statement

Fortress Investment Group (UK) Ltd
As of 31 December 2023

As required by the Companies Act 2006, the Directors of the Company have complied with their duty to promote the success of the Company for the benefit of its members whilst having regard to the following factors:

(a) The likely consequences of any decisions in the long term:

The Company carefully considers the long-term impact of our decisions. For instance, when evaluating an existing or prospective investment on behalf of its parent entity, FIG LLC and its affiliate entities, the Company’s investment professionals duly consider the potential impact any given factor on overall investment performance over an extended period.

(b) The interests of the Company’s employees:

The Company values its employees and recognises that they are critical to its business strategy and development. The Company’s competitive advantage, performance and success relies on attracting, retaining, developing, and motivating talented employees.

The Company acts as a responsible employer, complying with all employment regulations and developing policies and practices to foster a high performing environment.

The Company values the input and well-being of its employees. The Company regularly engages with employees to obtain their feedback and ensure their ideas and concerns are taken into account during decision-making processes.

(c) The need to foster the Company’s business relationships:

The Directors seek to ensure that the Company continues to provide a high level of service as an advisor to FIG LLC and its affiliate entities.

Effective 1 January 2023, the mark-up on the cost-plus revenue operating structure of the Company has been adjusted from 10% to 5%. This was concluded following a transfer pricing analysis and we believe better aligns the Company’s interests with that of its parent entity, as it is more in line with industry peers.

(d) The impact of the Company’s operations on the community and environment:

The Company’s parent entity adopted its ESG policy in 2019, which is applicable to the Company’s operations. The ESG committee meets on a periodic basis to review ESG-related initiatives undertaken by the Company, its parent entity and affiliates, and to consider potential new initiatives.

In considering a potential investment on behalf of its parent entity and affiliates, the Company’s responsible investment professionals may conduct a high-level assessment of the investment’s ESG profile. This typically involves a general review of material factors that may be relevant to ESG risk. A descriptive list of relevant ESG factors for consideration are set out in the aforementioned ESG policy, although the Company’s investment professionals are encouraged to use their judgment and think analytically about ESG issues without being limited to a checklist of particular items.

(e) The desirability of the Company maintaining a reputation for high standards of business conduct:

The Company upholds a high standard of business conduct. Ethical behaviour and transparency are integral to the Company’s decision-making process.

(f) The need to act fairly between members of the Company.

This is not applicable to the Company, as the Company has one member only, FIG LLC.

In summary, the Company recognizes that its success is prefaced upon careful, considered management of stakeholder interests, which may include consideration of sustainable practices and wider societal impact.