Global Logistic Properties Ltd - OCBC Investment 2017-10-02: Expands In Europe Via Fund Platform

Global Logistic Properties Ltd - OCBC Investment 2017-10-02: Expands In Europe Via Fund Platform GLOBAL LOGISTIC PROP LIMITED MC0.SI

Global Logistic Properties Ltd - Expands In Europe Via Fund Platform

  • Global Logistic Properties (GLP) announced that it will acquire Gazeley, a leading European logistics platform, for approximately €2.4 billion, which will be funded by cash, existing credit facilities and new debt. 
  • The acquisition will allow GLP to acquire a quality logistics portfolio in Europe, in terms of class and location, as well as an experienced local management team with a strong development track record. 
  • The target portfolio includes properties across 4 countries in Europe and will comprise approximately 32 million square feet (3.0 million square metres) of total gross leasable area upon full build-out of the land bank. 
  • We understand that GLP intends to syndicate its stake in the target portfolio as part of its long- term strategy of growing its fund management platform. 
  • There is currently an ongoing scheme of arrangement for the proposed privatization of GLP at S$3.38 per share and the exercise is expected to be completed by 14 Apr 2018. Note that GIC, as the single largest shareholder with a 36.84% stake, has provided an irrevocable undertaking to vote in favour of the scheme. 
  • Given that the offer price is above our fair value estimate of S$2.87, we recommend for shareholders to ACCEPT THE OFFER.




Eli Lee OCBC Investment | http://www.ocbcresearch.com/ 2017-10-02
OCBC Investment SGX Stock Analyst Report ACCEPT OFFER Maintain ACCEPT OFFER 2.870 Same 2.870



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