SINGAPORE—Industrial giant Global Logistics Properties Ltd. has retained J.P. Morgan as its financial advisor on a strategic review of its options. The review, following a request from GLP's largest shareholder, GIC Real Estate Private Ltd., comes about a month after Bloomberg Business reported that China Investment Corp. was considering forming a partnership to acquire the industrial owner/developer.
“The company wishes to emphasize that no definitive transaction has been entered into by the company with any party,” including the CIC-led consortium that also included Hopu Investment Management and Hillhouse Capital Management, according to a statement from GLP. “There is no assurance that any transaction will materialize from the strategic review and the company will make an appropriate announcement in the event of any material developments.”
Although much of GLP's 562-million-square-foot portfolio is located in China and Japan, its US holdings will approach 200 million square feet when a deal to acquire 15 million square feet from Hillwood is finalized. Announced this past September, the Hillwood deal represents the third 10-figure US acquisition by GLP, following its US$8.1-billion acquisition of the Blackstone Group's IndCor portfolio in partnership with GIC and a US$4.6-billion deal to acquire 200 facilities from Industrial Income Trust. GLP's US holdings currently are valued at about US$13 billion.
When the possible CIC partnership was reported in early November, analysts opined that GLP could represent an attractive buyout target. “We believe that it is undervalued,” Christopher Wong senior investment manager at Aberdeen Asset Management Asia Ltd., which owns shares of GLP, told Bloomberg. “The business has significant potential in a space that is growing at a rapid pace.”
SINGAPORE—Industrial giant Global Logistics Properties Ltd. has retained J.P. Morgan as its financial advisor on a strategic review of its options. The review, following a request from GLP's largest shareholder, GIC Real Estate Private Ltd., comes about a month after Bloomberg Business reported that China Investment Corp. was considering forming a partnership to acquire the industrial owner/developer.
“The company wishes to emphasize that no definitive transaction has been entered into by the company with any party,” including the CIC-led consortium that also included Hopu Investment Management and Hillhouse Capital Management, according to a statement from GLP. “There is no assurance that any transaction will materialize from the strategic review and the company will make an appropriate announcement in the event of any material developments.”
Although much of GLP's 562-million-square-foot portfolio is located in China and Japan, its US holdings will approach 200 million square feet when a deal to acquire 15 million square feet from Hillwood is finalized. Announced this past September, the Hillwood deal represents the third 10-figure US acquisition by GLP, following its US$8.1-billion acquisition of the Blackstone Group's IndCor portfolio in partnership with GIC and a US$4.6-billion deal to acquire 200 facilities from Industrial Income Trust. GLP's US holdings currently are valued at about US$13 billion.
When the possible CIC partnership was reported in early November, analysts opined that GLP could represent an attractive buyout target. “We believe that it is undervalued,” Christopher Wong senior investment manager at Aberdeen Asset Management Asia Ltd., which owns shares of GLP, told Bloomberg. “The business has significant potential in a space that is growing at a rapid pace.”
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