By P.R. Venkat
SINGAPORE -- Singapore-listed Global Logistic Properties Ltd. has established a $1.5 billion U.S. fund aimed at buying U.S. logistic assets in the next three years.
GLP, which is majority owned by Singapore sovereign-wealth fund GIC Pte. Ltd., said that it has six global institutional investors from Asia, U.S. and Middle East have committed for a stake of approximately 90% in the U.S. fund, GLP said in a statement, without naming the investors.
GLP has grown into one of the world's biggest logistics companies through acquisitions with backing from the sovereign fund and other institutional investors. Demand for sophisticated logistics operations has grown on the back of the expansion of e-commerce globally.
GLP has targeted the U.S. and China, the two biggest online shopping markets, for its expansion. It manages logistics assets valued at close to $40 billion in the U.S., China, Japan, and Brazil.
GLP has been one of the biggest buyers of logistics assets with a special focus on the U.S. and China. In 2014, it made its biggest investment in the U.S. by paying $8.1 billion to Blackstone Group LP for a collection of U.S. warehouse and logistics properties called IndCor. This year it bought $1.1 billion of U.S. warehouses from Hillwood Development.
GLP statement said that the newly established U.S. fund will buy the Hilwood Development assets for $1.1 billion.
Write to P.R. Venkat at email@example.com
(END) Dow Jones Newswires
December 14, 2016 19:18 ET (00:18 GMT)
Copyright (c) 2016 Dow Jones & Company, Inc.