China Investment Corporation strikes logistics deal
A pan-European logistics company which owns a string of properties across the UK has been bought by sovereign wealth fund China Investment Corporation for EUR12.25bn (?10.7bn). Logicor has assets totalling 147 million square feet in 17 countries, with more than 70 per cent concentrated in the UK, Germany, France and southern Europe. It has been sold by private equity firm Blackstone.
Anthony Myers, Blackstone’s head of real estate Europe, said: “We built Logicor through over 50 acquisitions to be a premier pan European logistics real estate company. “It will now have an excellent new long term owner, and we have no doubt that it will go from strength to strength in a sector with hugely positive prospects.” In the UK, Logicor has 32 assets including at Bentall Business Park in Washington; Century Street Industrial Estate in Sheffield; Junction 2 Industrial Estate in Oldbury; and Oxford Road Industrial Estate in Reading.
Mo Barzegar, Logicor’s chief executive, said: “We are excited about the company’s future prospects under the new long-term ownership of CIC with whom we will continue to deliver and exceed our customers’ expectations.” Eastdil Secured and Goldman Sachs were lead advisers to Blackstone with additional advice provided by PJT Partners, Morgan Stanley, BofA Merrill Lynch and Citigroup. Simpson Thacher & Bartlett acted as legal adviser to Blackstone.
UBS acted as financial advisor to CIC, while Clifford Chance acted as legal adviser to CIC.
Closing is expected to occur later this year.