Singapore’s ARA Asset Management has acquired a majority stake in Australia-headquartered logistics property group LOGOS Group, according to an announcement.
Details of the transaction pertaining to the deal size and valuation were not disclosed. According to an IPE Real Assets report, the investment by ARA is in the region of S$500m (nearly $361 million).
The transaction, which has been routed through ARA Logistics Partners, paves the way for MIRA Real Estate, a part of Australia’s Macquarie Group, to exit its investment in LOGOS.
ARA will join the existing shareholders of LOGOS Group – including its founders and Canadian real estate company Ivanhoe Cambridge – to run the business.
With the acquisition, LOGOS will operate as ARA’s exclusive platform for logistics assets globally, the statement said. The Singapore-based firm has transferred its holdings in ARA Trust Management and SGX-listed Cache Logistics Trust, which has assets under management of S$1.3 billion, to LOGOS.
Founded in 2010, LOGOS currently operates across eight countries in the Asia Pacific region. According to a statement issued by the company, ARA and LOGOS will work together to strengthen their position as a leading logistics real estate developer and investment manager in the region.
The industrial and logistics sector is well-supported by a rising middle-class in the Asia Pacific region, which is seeing increased consumer spending and e-commerce growth.
Over the past few years, ARA has set its foot in the United States and Europe and has added new platforms such as infrastructure, real estate credit, and hospitality.
“We will continue to seek out growth opportunities globally to increase our product offerings to
investors, with a focus on the real assets space where our core competencies lie, and in regions where we have boots on the ground, in line with our investor-operator philosophy,” said ARA Group CEO John Lim.