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Global Logistic Properties Ltd., the Singapore warehouse operator pursuing a sale, has picked a Chinese bidder consortium for final talks on a deal valuing the company at about $10 billion, people with knowledge of the matter said.

The investor group, fronted by GLP Chief Executive Officer Ming Mei, edged out a rival consortium led by Warburg Pincus, according to the people. The Chinese consortium, which includes private equity firms Hillhouse Capital Management  and  Hopu  Investment Management,  is planning to offer around S$3 per share for GLP and will now negotiate definitive terms for the transaction, the people said, asking not to be identified because the information is private.

GLP shares ended trading Wednesday at S$2.70. Under the deal being contemplated, GLP would be taken private through a scheme of arrangement, the people said. The Chinese investor group will seek to obtain an undertaking from Singapore sovereign fund GIC Pte, which owns about 37 percent of the company, to vote in favor of the offer, the people said. 

The 3.875 percent notes of GLP due 2025 climbed 1.2 cents on the dollar to 97.1 cents as of 12:30 p.m. local time Thursday, according to Bloomberg-compiled prices, the biggest jump in four weeks.

GLP  is nearing the end of a months-long sale process that&rsquo s  faced  bidder complaints that the management group has an advantage with privileged access to information. If an agreement is reached, the purchase of  GLP would become the largest-ever  private equity buyout  of an Asian company by enterprise value, surpassing last year&rsquo s takeover of Qihoo 360 Technology Co., data compiled by Bloomberg show.

&ldquo The market views the possible winner more favorably than the rivals, in the sense that there is continuity, familiarity and less disruption to the business,&rdquo   Ezien Hoo, a credit analyst at Oversea-Chinese Banking Corp. in Singapore, said Thursday. &ldquo Whether the new owner will load  GLP  with more debt remains to be seen.&rdquo

Shares of GLP have surged 43 percent over the past year, giving it a market value of about S$12.7 billion ($9.2 billion). It was the best performer during the period on Singapore&rsquo s benchmark Straits Times Index, which gained 11 percent. The company was halted from trading Thursday, pending an announcement.

China Vanke Co., one of the country&rsquo s largest residential developers, is a member of the management-backed consortium, according to the people. Ping An Insurance Group Co. of China, which previously held talks about partnering with the Chinese investors, didn&rsquo t end up joining the deal, the people said.

Representatives for the Chinese consortium and  GLP declined to comment, while Ping An and Warburg Pincus didn&rsquo t immediately reply to emailed queries.  A representative for  Vanke  said the company has no information to disclose.

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Start your day with what' s moving markets in Asia. Sign up here to receive our newsletter.

Global Logistic Properties Ltd., the Singapore warehouse operator pursuing a sale, has picked a Chinese bidder consortium for final talks on a deal valuing the company at about $10 billion, people with knowledge of the matter said.

The investor group, fronted by GLP Chief Executive Officer Ming Mei, edged out a rival consortium led by Warburg Pincus, according to the people. The Chinese consortium, which includes private equity firms Hillhouse Capital Management  and  Hopu  Investment Management,  is planning to offer around S$3 per share for GLP and will now negotiate definitive terms for the transaction, the people said, asking not to be identified because the information is private.

GLP shares ended trading Wednesday at S$2.70. Under the deal being contemplated, GLP would be taken private through a scheme of arrangement, the people said. The Chinese investor group will seek to obtain an undertaking from Singapore sovereign fund GIC Pte, which owns about 37 percent of the company, to vote in favor of the offer, the people said. 

The 3.875 percent notes of GLP due 2025 climbed 1.2 cents on the dollar to 97.1 cents as of 12:30 p.m. local time Thursday, according to Bloomberg-compiled prices, the biggest jump in four weeks.

GLP  is nearing the end of a months-long sale process that&rsquo s  faced  bidder complaints that the management group has an advantage with privileged access to information. If an agreement is reached, the purchase of  GLP would become the largest-ever  private equity buyout  of an Asian company by enterprise value, surpassing last year&rsquo s takeover of Qihoo 360 Technology Co., data compiled by Bloomberg show.

&ldquo The market views the possible winner more favorably than the rivals, in the sense that there is continuity, familiarity and less disruption to the business,&rdquo   Ezien Hoo, a credit analyst at Oversea-Chinese Banking Corp. in Singapore, said Thursday. &ldquo Whether the new owner will load  GLP  with more debt remains to be seen.&rdquo

Shares of GLP have surged 43 percent over the past year, giving it a market value of about S$12.7 billion ($9.2 billion). It was the best performer during the period on Singapore&rsquo s benchmark Straits Times Index, which gained 11 percent. The company was halted from trading Thursday, pending an announcement.

China Vanke Co., one of the country&rsquo s largest residential developers, is a member of the management-backed consortium, according to the people. Ping An Insurance Group Co. of China, which previously held talks about partnering with the Chinese investors, didn&rsquo t end up joining the deal, the people said.

Representatives for the Chinese consortium and  GLP declined to comment, while Ping An and Warburg Pincus didn&rsquo t immediately reply to emailed queries.  A representative for  Vanke  said the company has no information to disclose.

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