Key Takeaways
- • CTP NV agreed to acquire all Vietnam assets of South-East Asia Logistics Partners (SLP), owned by Ares Management Corporation, for $500 million, according to CTP's announcement on Monday.
- • The portfolio comprises seven operating assets with about 50 hectares (123 acres) of leasable area, plus six development sites with potential for roughly 58 hectares more across northern and southern Vietnam.
- • CTP CEO Remon Vos said the move responds to client requests to expand beyond China under 'China Plus One' supply-chain diversification strategies.
- • The deal marks CTP's largest step into Asia, following its earlier acquisition of two Vietnam development sites this year, its first expansion outside Europe.
- • Completion is subject to regulatory approval and is expected in the coming months.
Summary
CTP NV, one of Europe's largest operators of logistics and industrial real estate, said on Monday it had agreed to acquire for $500 million all the assets in Vietnam of South-East Asia Logistics Partners, according to Reuters. The seller, SLP, is owned by investment firm Ares Management Corporation.
The proposed acquisition comprises seven assets with a leasable area of about 50 hectares (123 acres), plus six development sites with potential for roughly another 58 hectares of leasable area in northern and southern Vietnam. Construction has already started on industrial and logistics space at two of these sites. SLP's tenants, whose leases would transfer into CTP's portfolio, include logistics and parcel delivery firms J&T Express, Shopee Express and Nippon Express, CTP said.
CTP chief executive Remon Vos said the move followed requests from clients to expand in Asia beyond China as they seek to diversify supply chains. "Many of our clients are now seeking expansion beyond China for their production facilities as part of 'China Plus One' strategies to diversify their supply chains. Vietnam is a natural location for this, so it makes strategic sense for us to expand here," Vos said.
CTP owns and operates logistics parks in a dozen European countries, mostly in Central and Eastern Europe. It earlier this year acquired two development sites in Vietnam, its first expansion outside Europe. The deal's completion is subject to regulatory approval and is expected in the coming months, the company said.
The proposed acquisition comprises seven assets with a leasable area of about 50 hectares (123 acres), plus six development sites with potential for roughly another 58 hectares of leasable area in northern and southern Vietnam. Construction has already started on industrial and logistics space at two of these sites. SLP's tenants, whose leases would transfer into CTP's portfolio, include logistics and parcel delivery firms J&T Express, Shopee Express and Nippon Express, CTP said.
CTP chief executive Remon Vos said the move followed requests from clients to expand in Asia beyond China as they seek to diversify supply chains. "Many of our clients are now seeking expansion beyond China for their production facilities as part of 'China Plus One' strategies to diversify their supply chains. Vietnam is a natural location for this, so it makes strategic sense for us to expand here," Vos said.
CTP owns and operates logistics parks in a dozen European countries, mostly in Central and Eastern Europe. It earlier this year acquired two development sites in Vietnam, its first expansion outside Europe. The deal's completion is subject to regulatory approval and is expected in the coming months, the company said.
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