Baker & McKenzie recently advised APG Asset Management N.V. ("APG"), the Dutch pension fund asset manager, on its commitment of up to US$650 million for an approximately 20% stake and the creation of a strategic joint venture with e-Shang, to develop and own institutional-grade, modern logistics real estate assets across China. This transaction represents one of the largest commitments to the Chinese logistics real estate sector.

The Baker & McKenzie team was led by partner Jason Ng, head of the Firm’s investment funds group in Hong Kong/China.

Commenting on the deal, Jason Ng said, “We are delighted to have been able to assist APG on this transaction, which is one of the largest in the logistics real estate sector in China.  The joint venture is well positioned to capitalize on the significant growth opportunities in the logistics and warehousing sector given the strong demand for third party logistics and warehousing generated by the growing e-commerce platforms in China.”

e-Shang, headquartered in Shanghai, is a leading Chinese warehousing developer and operator.  It was founded in 2011 by global private equity firm Warburg Pincus and two local entrepreneurs.  e-Shang focuses on developing institutional quality warehouses as well as providing logistics services from prime locations across greater Shanghai, Beijing, Guangzhou as well as a number of second-tier cities.  It currently owns over 1.5 million square meters of completed and ongoing projects in China.

APG Asset Management N.V. is a Dutch pension fund asset manager in the Netherlands. For its pension fund clients and their 4.5 million active and retired participants from the public and private sectors representing over 30% of all collective pension schemes in the Netherlands, APG Asset Management N.V. manages pension assets of more than €359 billion as at the end of April 2014.