SINGAPORE--Government of Singapore Investment Corp., Singapore's sovereign wealth fund, has raised US$1.25 billion by selling about 596 million shares in warehouse operator Global Logistic Properties Ltd. (MC0.SG), according to a term sheet seen by Dow Jones Newswires on Tuesday.
GIC sold the shares at 2.60 Singapore dollars each (US$2.10 each), which is a 4.8% discount to Monday's closing price of S$2.75, the term sheet showed. The pricing comes in at the lower end of the price range of S$2.60 to S$2.66 each.
J.P. Morgan Chase & Co. (JPM) is the sole bookrunner for the sale, according to the term sheet.
GIC will hold a 37% stake in GLP, down from 49%, following the share sale and will remain as a substantial shareholder for the long run, a person familiar with the transaction said, adding the move is part of the fund's portfolio rebalancing.
The share sale is the third-biggest share sale in Asia so far this year. The Singapore sovereign wealth fund joins other companies that have taken advantage of buoyant markets in the region to sell stakes.
China Petroleum & Chemical Corp. (0386.HK, 600028.SH, SNP), Asia's largest oil refiner, has topped Dealogic's tally of share sales so far this year, raising US$3.1 billion in private placement, followed by the Indian government's US$2.1 billion sale of shares in state-run power firm NTPC Ltd. (532555.BY).
GLP listed on the Singapore Exchange in October 2010 after raising about 3.5 billion Singapore dollars (US$2.9 billion), in what was at the time the city-state's biggest IPO since 1993. The company's shares are up about 40% from the IPO price of S$1.96, but are down 1.1% so far this year. The benchmark Straits Times Index is up 3.8% so far this year.