GIC Seeking as Much as S$1.6 Billion for Global Logistic Stake

Government of Singapore Investment Corp. is seeking to raise as much as S$1.6 billion ($1.3 billion) selling part of its stake in Global Logistic (GLP) Properties Ltd., according to a term sheet sent to investors.

GIC, Singapore’s sovereign wealth fund that’s Global Logistic’s biggest shareholder, is offering 595.7 million shares at S$2.60 to S$2.66 apiece, according to the term sheet obtained by Bloomberg News. That’s as much as a 5.5 percent discount from Global Logistic’s closing price of S$2.75 today.

The stake on offer is about 13 percent of the total shares outstanding of Singapore-based Global Logistic, according to data compiled by Bloomberg News. JPMorgan Chase & Co, is the only bookrunner on the sale, according to the document. Global Logistic is the biggest owner of Japan industrial properties.

“It looks like a measure of portfolio management by GIC and that they are creating more liquidity,” said Donald Chua, a Singapore-based analyst at CIMB Research Pte. “I don’t believe that there is fundamentally anything wrong with the company.”

Jennifer Lewis, a spokeswoman at GIC, declined to comment on the report. The fund manages more than $100 billion of the city’s reserves.

To contact the reporters on this story: Chanyaporn Chanjaroen in Singapore at cchanjaroen@bloomberg.net; Fox Hu in Hong Kong at fhu7@bloomberg.net

To contact the editor responsible for this story: James Poole at jpoole4@bloomberg.net

Bloomberg reserves the right to remove comments but is under no obligation to do so, or to explain individual moderation decisions.

Please enable JavaScript to view the comments powered by Disqus.