Global Logistic Properties Limited (GLP) owns 296 logistic facilities properties in China and Japan with a Gross Floor Area of 6.2 million square metres as at 30 June 2010.
According to the prospectus, the Pro forma Net Asset Value is US$6.2 billion. After the initial public offer (IPO), the total number of shares is approximately 4.46 billion shares. The net asset value per share is estimated to be US$1.39, which is approximately S$ 1.81 (based on exchange rate of S$1.30 to US$1.00). The offer price of the new share is S$1.96, which is at a premium of 8.2 per cent.
The Government Investment Corporation of Singapore (GIC) will be the major shareholder holding 51.5 per cent.
It is useful to note that the audited profits for the years ended 31 March 2008, 2009 and 2010 were:
2008 US$ 13.4 million – profit
2009 US$ 32.3 million – profit
2010 US$ (149.6) million – loss
The adjusted earnings per share for the three years were:
2008 US$ 0.34 – profit
2009 US$ 0.78 – profit
2010 US$ (4.09) – loss
In addition, GLP had said that dividends for future years are not assured.
Despite the above, 1.4 billion offer shares found takers and the IPO was 12 times subscribed. At today’s debut of the shares on the Singapore Exchange, the shares traded above IPO price ranging between S$2.13 and S$2.19 (11.7% to 8.6% above IPO price) with 384 million shares (27% of total) changing hands (at 3.00 pm). This suggests that successful IPO applicants sold their allotment at the first instance without consideration of holding the shares for the long term.
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