Global Logistic Properties (GLP) said on Monday it has signed a strategic partnership agreement with Bank of China, under which the bank will provide supply chain financing to the Singapore-listed warehouse owner's customers.
GLP and Bank of China will also work together to lower logistics costs for their customers, which will drive demand for GLP's logistics facilities from Bank of China and its customers, GLP said in a statement.
This comes after a unit of Bank of China, together with other Chinese state-owned enterprises, invested US$2.5 billion in GLP last month.
Describing the strategic partnership as a "win-win" arrangement, GLP co-founder and chief executive officer Ming Z. Mei said the tie-up "provides a one-stop logistics platform for GLP customers as they can now simultaneously access our best-in-class facilities and the best supply chain financing".
Mr Li Xiao Jing, chairman of Bank of China Group Investment, added: "There is great potential for the development of supply chain financing with the rapid growth of the logistics industry in China.
"This alliance leverages the financial resources of Bank of China with GLP's global network of customers as we work together to advance the development of supply chain financing in China."