Global Logistic Properties : STATUTORY ANNOUNCEMENT - GLP TO ACQUIRE US$1.1 BILLION US LOGISTICS PORTFOLIO

(Registration No. 200715832Z) (Incorporated in Singapore on August 28, 2007)

1. INTRODUCTION

   Global Logistic Properties Limited ("GLP" or the "Company" and together with its subsidiaries, the "Group") will, through an indirect wholly-owned subsidiary, acquire a portfolio of industrial assets in the United States of America (the "Acquisition"), as further described below.

2. THE ACQUISITION
3. Rationale for the Acquisition

   The Acquisition will allow the Company to acquire a portfolio of industrial assets in the United States of America, thus further expanding its scale in the world's largest logistics market and improving the overall quality of its portfolio in the United States of America.

4. The structure of the Acquisition is summarised as follows:

5. Target Portfolio. The target portfolio (the "Target Portfolio") comprises approximately 15 million square feet (1.4 million square metres) of total gross floor area. The Target Portfolio is held by entities owned directly or indirectly by Hillwood Development Company, LLC ("Hillwood"), real estate investment funds affiliated with Hillwood or joint ventures in which Hillwood is a member. The Acquisition will involve the direct acquisition of certain properties from the relevant holding entities and indirect acquisition of the remaining properties through the acquisition of the relevant holding entities.

6. Purchase Price. The purchase price for the Target Portfolio is approximately US$1.1 billion, which will be funded by cash and new indebtedness. The purchase price was arrived at on a willing buyer, willing seller basis, taking into account, inter alia, prevailing market conditions and each party's relative assessment of the commercial value of the Target Portfolio. There is no available appraised value of the Target Portfolio.

7. Syndication. The Group intends to ultimately retain an approximate 10% stake in the Target Portfolio post-syndication. Such syndication is in the ordinary course of the Group's business.
8. Purchase Agreements. The Target Portfolio will be acquired, in stages, pursuant to definitive purchase agreements. The initial closing in respect of the completed properties within the Target Portfolio (approximately US$700 million) is expected to take place in December 2016. The remaining development properties within the Target Portfolio (approximately US$400 million) are expected to be acquired in phases upon completion and full leasing. The completion of the Acquisition is conditional upon customary closing conditions.
9. Financial Effects of the Acquisition. For illustration purposes only and based on the Group's audited consolidated financial statements for the financial year ended 31 March 2016 ("FY2016") and applying the estimated net tangible asset value and earnings of the Target Portfolio as at 31 March 2016, the financial effects of the Acquisition are set out below. The analysis below has been prepared solely for illustrative purposes and does not purport to be indicative or a projection of the results and financial position of the Group immediately after the Acquisition.
10. Net Tangible Assets

    Based on the audited financial statements of the Company as at 31 March 2016, and assuming that the Acquisition was completed as at 31 March 2016, the net tangible assets per share would remain unchanged at US$1.78.

11. Earnings Per Share

    The net profits attributable to the Target Portfolio for the 12 months ended 31 March 2016 would have been approximately US$6 million1. Assuming that the Acquisition was completed as at 1 April 2015, the effect of the Acquisition on the earnings per share is as follows:

    FY2016
    Profit attributable to ordinary shareholders less accrued distribution to holders of capital securities and before the Acquisition (US$'000)	690,417
    Basic earnings per share before the Acquisition (US cents)	14.43
    Adjusted profit attributable to ordinary	696,417

    1 Based on GLP's post-syndication stake of approximately 10% of the net profit of the Target Portfolio and fund management fees, excluding one-off transaction costs and fees.

    shareholders less accrued distribution to holders of capital securities and after the Acquisition (US$'000)

    Adjusted basic earnings per share after the Acquisition (US cents)

    14.56

12. Chapter 10 of the Listing Manual. The Acquisition is in the ordinary course of the Group's business. In view of the foregoing, the Acquisition would not fall within the scope of transactions under Chapter 10 of the Singapore Exchange Securities Trading Limited Listing Manual.
13. FURTHER INFORMATION
14. Interests of Directors and Controlling Shareholders. None of the directors or controlling shareholders of the Company has any interest, direct or indirect, in the Acquisition save through their shareholding interests in the Company.
15. Directors' Service Contracts. No person is proposed to be appointed as a Director of the Company in connection with the Acquisition. Accordingly no service contract is proposed to be entered into between the Company and any such person.

16. By Order of the Board of

    GLOBAL LOGISTIC PROPERTIES LIMITED

    Ming Z. Mei

    Chief Executive Officer 13 September 2016