GLP

GLP: Reportedly planning an IPO of its Japanese assets that could raise at least 100b yen (S$1.6b). Has hired Citigroup, Goldman Sachs and Nomura as the main underwriters for the IPO. The shares will be sold both in Japan and overseas by the end of this yr. Co has publicly announced that it has not made a decision to pursue this yet, and IPO remains a speculation.
GLP owns warehouses nationwide in Japan and its assets are worth about 516b yen. Co. aims to expand in Jap, where it has won exclusive rights to negotiate the purchase of warehouse assets from LaSalle Investment Mgt for about 140b yen and also follows its JV with Canada’s pension plan invt board to develop logistics facilities in Japan . GLP's Reit would join Jap Logistics Fund and Industrial & Infrastructure Fund Investment, two publicly listed real estate trusts in Jap that focus on the warehousing business. Both Reits trade around 20x historic earnings. GLP is trading at 13.7x current P/E but has not reported a full yr of earnings having only listed in Oct last yr.
Japan’s REIT index has lost more than 15% since beginning of this year similar to the decline with the Nikkei 225.