TERRAFINA’S TECHNICAL COMMITTEE RECOMMENDS THE INTERNALIZATION OF THE ADVISORY FUNCTIONS PROVIDED BY PGIM REAL ESTATE

Mexico City, January 19^th, 2024 – Terrafina (“TERRA”) (BMV: TERRA13), a leading Mexican industrial real estate investment trust (“FIBRA”), externally advised by PGIM Real Estate and dedicated to the acquisition, development, lease, and management of industrial real estate properties in Mexico, announced today that:

In its meeting held yesterday, January 18^th, 2024, the Technical Committee of Terrafina resolved that it will make a recommendation to the CBFI Holders Meeting to proceed with the termination of Terrafina’s advisory agreement with PGIM Real Estate, Terrafina’s Advisor, and with the amendment of the management agreement of Terrafina with TF Administradora, S. de R.L. de C.V., Terrafina’s management subsidiary, so that in due course such management subsidiary assumes all activities currently conducted by the Advisor, thereby “internalizing” all such activities.

After a rigorous assessment of Terrafina’s current management structure and guided by the analysis and recommendations of expert consultants retained by Terrafina for such purpose, the Corporate Practices Committee made a recommendation to the Technical Committee that Terrafina proceed with such internalization. After thoroughly reviewing and discussing its implications, the Technical Committee also resolved to recommend to the CBFI Holders Meeting to proceed with the termination of Terrafina’s advisory agreement with PGIM Real Estate, which termination would not require payment of any termination fees or penalties.

The Technical Committee also authorized Terrafina’s management subsidiary to call an Extraordinary CBFI Holders’ Meeting when appropriate so that the CBFI Holders have the opportunity to discuss and vote on this matter.

Alberto Chretin, Terrafina’s CEO, commented: “At Terrafina, we have always strived to keep up with both local and global best practices. We recognize the value contributed by PGIM Real Estate’s team and are grateful for their help in getting us to where we are today. We believe that, should the Holders’ Extraordinary Meeting decide so in due course, transitioning to an internalized structure will position us to better capitalize on solid industrial market dynamics in Mexico, fulfilling the expectations investors have placed on us since the beginning of our operations, and ultimately benefiting our stakeholders.“ 

Terrafina (BMV:TERRA13) is a Mexican real estate investment trust formed primarily to acquire, develop, lease and manage industrial real estate properties in Mexico. Terrafina’s portfolio consists of attractive, strategically located warehouses and other light manufacturing properties throughout the Central, Bajio and Northern regions of Mexico. It is internally managed by highly qualified industry specialists and externally advised by PGIM Real Estate.

Terrafina owns 290 real estate properties, including 286 developed industrial facilities with a collective GLA of approximately 42.1 million square feet and four land reserve parcels, designed to preserve the organic growth capability of the portfolio. Terrafina’s objective is to provide attractive risk-adjusted returns for the holders of its certificates through stable distributions and capital appreciations. Terrafina aims to achieve this objective through a successful performance of its industrial real estate and complementary properties, strategic acquisitions, access to a high level of institutional support, and an effective management and corporate governance structure. For more information, please visit www.terrafina.mx/en/

About PGIM Real Estate

With $208 billion in gross assets under management and administration ($131 billion net),¹ PGIM Real Estate provides investors and borrowers access to a range of real estate equity, real estate debt, agriculture, and impact solutions across the risk-return spectrum.

PGIM Real Estate is a business of PGIM, the global asset management business of Prudential Financial, Inc. (NYSE: PRU). PGIM Real Estate’s risk management approach, execution capabilities and industry insights are backed by a 50-year legacy of investing in commercial real estate, a 140-year history of real estate financing,² and the local experience of professionals in 35 cities globally. Through its investment, financing, asset management, and talent management approach, PGIM Real Estate engages in practices that strive to ignite positive environmental and social impact, while pursuing activities that seek to strengthen communities around the world. For more information visit pgimrealestate.com.

¹ As of September 30, 2023; AUA is $49 billion; $131 billion AUM.

² Includes legacy lending through PGIM’s parent company, PFI.

About PGIM

PGIM is the global asset management business of Prudential Financial, Inc. (NYSE: PRU), a leading global investment manager with more than $1.22 trillion in assets under management as of September 30, 2023. With offices in 18 countries, PGIM’s businesses offer a range of investment solutions for retail and institutional investors around the world across a broad range of asset classes, including public fixed income, private fixed income, fundamental equity, quantitative equity, real estate and alternatives. For more information about PGIM, visit pgim.com.

Prudential Financial, Inc. (PFI) of the United States is not affiliated in any manner with Prudential plc, incorporated in the United Kingdom or with Prudential Assurance Company, a subsidiary of M&G plc, incorporated in the United Kingdom. For more information please visit news.prudential.com

Forward Looking Statements

This document may include forward-looking statements that may imply risks and uncertainties. Terms such as “estimate”, “project”, “plan”, “believe”, “expect”, “anticipate”, “intend”, and other similar expressions could be construed as previsions or estimates. Terrafina warns readers that declarations and estimates mentioned in this document or realized by Terrafina’s management imply risks and uncertainties that could change in function of various factors that are out of Terrafina’s control. Future expectations reflect Terrafina’s judgment at the date of this document. Terrafina reserves the right or obligation to update the information contained in this document or derived from this document. Past or present performance does not guarantee future performance.