GLP trims stake to just 10% in $10.9b US logistics portfolio

It will be syndicated to three institutional investors.

Global Logistic Properties (GLP) revealed that it is trimming its stake to 10% from 55% in its $10.9b (US$8b) US logistics portfolio.

The stake will be syndicated to three leading global institutional investors, including two
from Asia and one from North America.

GLP entered into an agreement to acquire one of the largest logistics platforms in the United States in December 2014, with the stated intention of injecting the US$8 billion portfolio into its fund management platform.

The agreed and undisclosed sale price of the 45% syndicated interest is "consistent with the price GLP paid plus retained earnings”, GLP said.

The fund syndication is expected to close in the second quarter of FY16 (July –September 2015), upon the receipt of regulatory approval, including approval by the Committee on Foreign Investment in the United States. 

Upon closing, GLP expects to book a net divestment gain equivalent to the net income earned during the period held for sale.