Corporate Governance

Karolinska Development AB is a Swedish public company, with its office located to Solna (close to Stockholm). The corporate governance of Karolinska Development is based on Swedish legislation, such as the Swedish Companies Act, and the Swedish Code of Corporate Governance (the Code).

The shareholders´ rights to resolve on company matters are exercised at the shareholder´s meeting.

The company´s board of directors has the overall responsibility for the company´s business. The board of directors is responsible for the management of the company in accordance with the Swedish Companies Act, but its work is also governed by the Code and the Rules of procedure annually adopted by the board of directors. The Rules of procedure stipulate the allocation of the work, if any, between the board of directors and the committees established by the board of directors and between the board of directors and the CEO.

The tasks of the audit committee are performed by the entire board of directors. The audit committee´s main task is to secure the quality of the company´s external financial reporting as well as ensure that the internal control functions correctly.

The tasks of the remuneration committee are performed by the entire board of directors. The committee´s main tasks are to propose salary, other remunerations and other terms of employment for the CEO and principles for remuneration and other employment conditions for other senior executives.

To support the board of directors and the CEO, the board of directors has established an Investment Advisory Board. The board´s authority, frequency of meetings, number of members, and function in relation to the CEO as well as other rules of its work have been established in the rules of procedure regarding work allocation between the CEO and the board of directors.