GLP

GLP: signs a new lease agreement of ~15.6k sm at GLP Park Beijing ACL (adjacent to Beijing Airport) with the China subsidiary of Cardinal Health, a leading global distributor of pharmaceuticals and medical supplies. Cardinal is an existing customer of GLP. Including the above, Cardinal leases a total of 29.3k sm with GLP across Beijing, Shanghai and Shenyang. The logistics of pharmaceutical and medical supplies in China is still nascent, and potentially offers higher margin given the stricter quality conditions that need to be maintained. GLP, with its high-end facilities, is well positioned to capture the associated warehousing demand over the longer term. The stock trades at 15.5x P/E, 1.2x P/B.