ProLogis to Increase Ownership Stake in PEPR

Logistics Insight Asia - Industry News, 18/2/2010

ProLogis has announced that it intends to purchase additional ordinary units carrying voting rights of ProLogis European Properties (PEPR), a Luxembourg closed-ended investment fund, in the open market or in privately negotiated transactions. ProLogis currently holds approximately 24.8 percent of PEPR's outstanding ordinary units.

"In our view, PEPR's unit price does not fully reflect the significant progress made over the past 14 months to manage through the downturn," said Walter Rakowich, ProLogis CEO. During this time, we have worked diligently to strengthen the company’s financial condition, maintain its strong occupancy and optimize the earnings power of its high quality assets."

At this time, ProLogis does not intend to increase its equity ownership of PEPR beyond 33.33 percent of ordinary units carrying voting rights, a level which would trigger a mandatory tender offer for the remaining units under Luxembourg law.

ProLogis, www.prologis.com