CHICAGO, May 28, 2015 /PRNewswire/ -- Global Logistic Properties Limited ("GLP"), the leading global provider of modern logistics facilities, today announced the introduction of three capital partners into GLP US Income Partners I. They include two leading global institutional investors from Asia and one from North America. One of the Asian investors is new to GLP's fund management platform. GLP will reduce its stake in GLP US Income Partners I from 55% to 10% and remains the sole asset manager. GIC continues to hold a 45% stake in the portfolio.
In December 2014, GLP entered into an agreement to acquire one of the largest logistics platforms in the United States, with the stated intention of injecting the US$8 billion portfolio into its fund management platform.
The agreed sale price of the 45% syndicated interest is consistent with the price GLP paid plus retained earnings. The fund syndication is expected to close 2Q FY2016 (July - September 2015), upon the receipt of regulatory approval, including approval by the Committee on Foreign Investment in the United States ("CFIUS"). Upon closing, GLP expects to book a net divestment gain equivalent to the net income earned during the period held for sale.
Mr. Ming Z. Mei, Chief Executive Officer of GLP, said: "We are delighted to welcome the new capital partners into GLP US Income Partners I. The offering was oversubscribed with significant investor interest. This draws on our longstanding relationships with leading institutions and strong management capabilities. The fund management platform is one of GLP's main sources of capital to fund growth. We remain focused on further expanding our fund management platform and driving higher risk-adjusted returns."
GLP US Income Partners I comprises 115 million square feet (11 million square meters) of high quality logistics properties. The portfolio is concentrated in locations with higher barriers to entry, with 26 of 29 key markets with populations of one million or greater, ideal for last mile e-commerce deliveries. As of March 31, 2015, the portfolio was 92% leased, with the ability to further increase to 94% within the next year.
This transaction is in line with GLP's growth strategy of expanding into the best logistics markets internationally via its fund management platform, which has grown at a compound annual growth rate of 97% to US$20 billion of assets under management today.
About Global Logistic Properties (http://www.glprop.com)
Global Logistic Properties Limited ("GLP") is a leading global provider of modern logistics facilities. As of 31 March 2015, GLP's US$28 billion property portfolio encompasses 41 million square meters (441 million square feet) of logistics facilities across China, Japan, Brazil and the United States.
GLP remains focused on being the best operator in each of its markets, creating value through developments and expanding its fund management platform. GLP's customers include some of the world's most dynamic manufacturers, retailers and third party logistics companies. Domestic consumption is a key driver of demand for GLP.
The Group is listed on the Mainboard of Singapore Exchange Securities Trading Limited (SGX stock code: MC0.SI; Reuters ticker: GLPL.SI; Bloomberg ticker: GLP SP).
GLP Investor Relations & Media Contact:
Ambika Goel, CFA, SVP- Capital Markets and Investor Relations, Tel: +65-6643-6372, Email: email@example.com
This press release is not an offer of securities for sale or a solicitation of an offer to purchase securities. The information in this press release may not contain, and you may not rely on this press release as providing, all material information concerning the condition (financial or other), earnings, business affairs, business prospects, properties or results of operations of GLP or its subsidiaries. Please refer to our unaudited financial statements for a complete report of our financial performance and position. This release may contain forward-looking statements that involve risks and uncertainties. Forward-looking statements include statements regarding the intent, belief and current expectations of GLP or its officers with respect to various matters. When used in this press release, the words "expects," "believes," "anticipates," "plans," "may," "will," "should," "intends," "foresees," "estimates," "projects," and similar expressions, and the negatives thereof, are intended to identify forward-looking statements. Similarly, statements that describe objectives, plans or goals also are forward-looking statements. Actual future performance, outcomes and results may differ materially from those expressed in forward-looking statements as a result of a number of risks, uncertainties and assumptions. Representative examples of these factors include (without limitation) general industry and economic conditions, interest rate trends, cost of capital and capital availability, availability of real estate properties, competition from other companies and venues for the sale/distribution of goods and services, shifts in customer demands, customers and partners, changes in operating expenses, including employee wages, benefits and training, governmental and public policy changes, and the continued availability of financing in the amounts and the terms necessary to support future business. You are cautioned not to place undue reliance on these forward-looking statements, which are based on the current view of management on future events and speak only as of the date of this press release. GLP does not undertake to revise forward-looking statements to reflect future events or circumstances. No assurance can be given that future events will occur, that projections will be achieved, or that GLP's assumptions are correct.
SOURCE Global Logistic Properties