GLP Capital Partners (GCP), the exclusive investment and asset manager of Asia’s warehouse giant GLP, has raised about 1.75 billion yuan ($240 million) of fresh capital for its China value-add strategies, the firm announced on Monday.
The equity was raised from a global institutional investor, said GCP in a statement, without specifying the investor’s identity. When fully leveraged, the capital will be invested in a pre-identified portfolio of GLP-developed modern logistics assets valued at approximately 3.5 billion yuan ($480 million).
The seed portfolio comprises four high-quality, income-generating logistics industrial parks located in Beijing, Shanghai, and southern China’s Greater Bay Area with a total net leasable area of more than 420,000 square metres.
The parks serve customers in the advanced manufacturing sector, including new energy vehicle (NEV) producers that are establishing domestic manufacturing bases.
The successful closings demonstrate “the resilience of the logistics sector in China”, said Teresa Zhuge, Executive Vice Chairman and President of China at GCP, in the statement.
“This offshore fundraise expands our value-add series in China and serves as a complement to our onshore RMB income strategies which continue to grow alongside strong investor interest,” she said.
The development follows the establishment of GCP’s first commingled clean energy strategy in China earlier this year. GCP announced in August that it secured about 4 billion yuan ($548.7 million) in commitments for this RMB fund, targeting a total of 20 billion yuan ($2.7 billion).
In July, the firm closed China Income Fund VIII, the latest fund in its flagship onshore income fund series, with equity commitments of about 2.6 billion yuan ($356.6 million).
Collectively, GCP has about $58 billion in assets under management (AUM) in China for a global set of over 90 institutional private capital partners, including more than 60 domestic institutional investors. The firm has raised approximately $2 billion of capital year-to-date for its China onshore and offshore strategies across real assets and private equity (PE).
Overall, GCP has recorded $124 billion in total AUM across 55 funds as of June 30, 2023. It specialises in thematic investing across real assets and PE in high-growth Asian markets as well as the US, Europe, and Brazil.
