Worldwide logistics facilities provider Global Logistics Properties (GLP) has announced a strategic review and appointed JP Morgan as its financial advisor.
The review comes after the Singapore-listed company’s largest shareholder, GIC Real Estate, requested the process in the interests of enhancing shareholder value.
“As part of the strategic review, the company, through JP Morgan, is in the process of making preliminary approaches to various parties to evaluate the viability of options available for its business,” said GLP in a statement.
The company, which owns and operates a global portfolio of 53m sq.m of space, has a market capitalisation of over $7 billion. Its shares have gained about 10% since the review was announced.
In November, the company announced new and renewed leases with a number of well-known third party logistics providers including DHL, Hitachi Transport, Schenker and AGV Logistica. The 3PL sector is its largest customer segment.
“The customers are using the facilities for domestic distribution, catering to demand from the pharmaceutical, auto parts and consumer goods industries,” said GLP at the time.
In terms of industry breakdown, automotive makes up 7% of GLP’s total leased area.
In a recent investor presentation, the company said its Chinese auto parts and after-sales customers included BMW, Daimler and Volkswagen.
The company has assets in China, Japan, the US and Brazil.