How private credit is serving logistics and supply chain businesses across Asia Pacific when bank credit cannot keep pace with the sector's infrastructure investment requirements.
Published by
Donald Klip | Co-Founder, Global Mortgage Group | Head, GMG Capital Advisory
30 years of institutional finance. Former hedge fund founder. Senior roles at top global investment banks. GMG Capital Advisory arranges private credit and special situations finance of $10M–$100M for operating companies across Asia Pacific.
[email protected] | +65 9773 0273 | Singapore · Hong Kong | Asia-Pacific
Asia Pacific's logistics and supply chain sector is undergoing a structural transformation. E-commerce growth has driven unprecedented demand for last-mile delivery infrastructure. Cold chain requirements for food safety, pharmaceuticals, and temperature-sensitive cargo are growing rapidly. Capital requirements are large and sustained. Bank credit is not fully meeting the demand.
Logistics & Supply Chain Finance is one of the most active and underserved sectors in Asia Pacific private credit. The capital is available, if you know where to find it.
Why Banks Are Pulling Back from This Sector
Logistics sector lending has been affected by bank tightening across the region. Specialised logistics assets: cold chain facilities, automated distribution centres, and port logistics infrastructure, require specialist valuation that many bank credit teams lack the expertise to conduct. The cross-border nature of Asia Pacific supply chains creates multi-jurisdiction credit structures that challenge conventional bank underwriting.
Collateral and Security in This Sector
Warehousing and distribution assets: Modern logistics facilities including multi-temperature warehouses, cross-docking facilities, and automated distribution centres. Prime logistics real estate in key markets commands strong values.
Cold chain infrastructure: Temperature-controlled storage and transport infrastructure. Specialist asset class with strong demand growth and limited supply in many markets.
Vehicle and equipment fleet: Trucks, forklifts, material handling equipment, and cold chain vehicles. Fleet assets provide a mobile, liquid collateral component.
Long-term client contracts: Multi-year logistics service agreements with creditworthy clients: FMCG companies, retailers, pharmaceutical manufacturers, e-commerce platforms. Contracted revenues from investment-grade clients are highly valued collateral.
Port and infrastructure rights: Port handling agreements, bonded warehouse licences, and customs clearance rights represent significant intangible value in many Asia Pacific logistics markets.
GMG Capital Advisory in This Sector
GMG Capital Advisory has arranged private credit for logistics and supply chain businesses across Asia Pacific. We understand the asset class, the contract dynamics, and the cross-border structuring considerations specific to the sector. Contact us to discuss your logistics financing requirement.
About GMG Capital Advisory
Donald Klip | Co-Founder, Global Mortgage Group | Head, GMG Capital Advisory
Donald Klip has 30 years of institutional finance experience spanning hedge fund management and senior roles at the world’s top global investment banks. GMG Capital Advisory specialises in arranging and structuring corporate debt financing of $10M–$100M for operating companies, asset owners, and project sponsors where conventional bank lending is unavailable, insufficient, or too slow. We operate across 23+ jurisdictions in Asia Pacific.
www.gmg.asia | [email protected] | +65 9773 0273 | Singapore · Hong Kong
The Debt Desk
Corporate private credit intelligence for Asia Pacific’s $10M–$100M middle market. Published by GMG Capital Advisory. Part of the Private Credit Asia content series.
www.gmg.asia | Read all 41 articles in the series
