Largest operator of warehousing space in China, Singaporean logistics giant GLP, posts 34pc second quarter profit rise
Results come after finalisation of a US$11.6b management-led buyout of the firm by a consortium led by developer China Vanke Co and Goldman Sachs’ former China chairman – Asia’s biggest-ever private equity acquisition by value
Global Logistics Properties (GLP), the Singapore-listed logistic giant and largest operator of warehouse space in China, has reported a 34 per cent year-on-year jump in net profit in the three months to September, boosted by higher rental income and foreign exchange gains.
Net profit climbed 34 per cent to US$231 million in the second quarter from a year ago, with total revenue increasing 32 per cent to US$282 million, according to the firm’s filing to Singapore Exchange on Friday.
It owns 17.5 million square metres of completed warehousing space in China, more than double the combination of what its four biggest rivals own, according to its annual report in March.
The results come after the finalisation of a S$16 billion (US$11.6 billion) buyout of the firm by a consortium led by developer China Vanke Co, Goldman Sachs’ former China chairman, and fund Hillhouse Capital in July – Asia’s biggest-ever private equity acquisition by value.
The group, The Nesta Investment Holdings MidCo consortium, which also involves GLP co-founder and chief executive officer of the firm Ming Mei, plans to delist from the Singapore bourse early next year, with the original shareholders receiving S$3.38 per share in cash by January 19, 2018, said Stephen Schutte, chief operating officer of the firm.
GLP’s largest existing shareholder is GIC, Singapore’s sovereign wealth fund, with owns 36.8 per cent of the warehouse operator.