GLP's independent adviser finds privatisation bid 'fair and reasonable'

The independent financial adviser for Global Logistic Properties' (GLP) independent directors has deemed a proposed privatisation to be fair and reasonable, according to scheme documents despatched on Friday.

Evercore Asia, which was appointed after Singapore's Securities Industry Countil found the previous appointment of ANZ to be non-independent, said that it considered, among other things, that the S$3.38 per share is a premium over historical prices and over a sum-of-the-parts valuation of the business.

Accepting Evercore's recommendation, GLP's independent directors said that shareholders should approve the proposed scheme.

A scheme of arrangement meeting will take place on Nov 30. To be approved, shareholders supporting the scheme must represent a majority in number of the shareholders present at the meeting and hold at least 75 per cent of shares present at the meeting.

The privatisation bid is being offered by Nesta Investment Holdings, a vehicle owned by Hopu, Hillhouse Capital, SMG, Bank of China Group Investment and Vanke. GLP chief executive Ming Z Mei is a director of Nesta.

Singapore sovereign wealth fund GIC has agreed to support the bid with its 36.84 per cent stake in GLP.