Takeover target GLP to build Adidas' largest distribution centre in Asia
Global Logistic Properties (GLP), the target of a $16 billion takeover by a Chinese consortium, has signed an agreement with Adidas to develop the sports company's largest distribution centre in Asia.
Adidas is doubling its space at its park in Suzhou, eastern China, to meet strong demand from growing domestic consumption, GLP said in a pre-market exchange filing yesterday.
It added that the 83,000 sq m build-to-suit project, comprising three double-storey buildings, will be its first Leed (leadership in energy and environmental design) gold standard facilities in China.
Leed is a globally recognised standard for measuring the performance of green buildings.
GLP China's co-president Victor Mok said the project "exemplifies how we are able to leverage our strategic local partnerships to acquire scarce land resources to meet customers' needs in prime locations".
GLP last week accepted a Chinese consortium's cash offer of $3.38 per share to buy out the company and take it private.
Mainboard-listed GLP's largest shareholder is Singapore sovereign wealth fund GIC with a 37 per cent stake. If the deal goes through, it will be the largest private equity buyout of an Asian firm by enterprise value, surpassing last year's takeover of Chinese Internet company Qihoo 360 Technology. - THE STRAITS TIMES