Logistics investments on the rise as Chinese ecommerce booms

Friday 28 February 2014 08:34 CET | News

The Singaporean company Global Logistics Properties (GLP), a logistics facilities operator providing services on the Chinese, Japanese and Brazilian markets, has raised USD 2.5 billion from a batch of Chinese investment institutions, reports. The deal comes as a result of the current development of the Chinese ecommerce industry.

The Bank of China Group Investment, a Bank of China subsidiary, and the HOPU Funds investment institution are among the Chinese investors. Ming Z. Mei, Co-founder and CEO of GLP, notes that the increased demand of logistics is explained also by the fact that Chinese companies own outdated logistics which need modernization.

Judging by GLP’s opinion, logistics expenditures sum up to 18% of China’s GDP, double to that of developed countries like the US and Japan. The company’s facilities portfolio is strategically located across 63 cities, forming a logistics network serving more than 700 customers. GLP’s portfolio has grown at a 67% compound annual growth rate since fiscal year 2005, and today incorporates 8.7 million sq m (93 million sq ft) of functional facilities.

Free Headlines in your E-mail

Every day we send out a free e-mail with the most important headlines of the last 24 hours.

Subscribe now

Keywords: Singapore, Global Logistics Properties, ecommerce, logistics expenditures, logistics facilities
Categories: Payments & Commerce
Countries: World
This article is part of category

Payments & Commerce

Industry Events