GlobalLogistic Properties Ltd. received approval to issue up to 10billion Chinese yuan of pandabonds on the Shanghai Stock Exchange, with the first-tranche bondsset at 1.5 billion yuan.

The Singapore company's GLP China unit priced thefirst-tranche notes with an annual interest rate of 3.12% for the three-yearbonds and a 3.58% annual interest for the five-year bonds.

It plans to use the proceeds to repay existing debt and fundbusiness developmentsin the mainland.

The multiple-tranche issuance of panda bonds will makeGlobal Logistic Properties the first global logistics real estate company toissue such notes, Teresa Zhuge, co-president of GLP China, said in a statement.

Zhuge added that the first-tranche notes was over 3xoversubscribed amid "strong" support from institutional investors.

Aside from the panda bonds, GLP China also intends to issueup to 10 billion yuan of over-the-counter bonds in China's interbank market inseveral tranches, pending regulatory approval.

As of July 11, US$1was equivalent to 6.69 Chinese yuan.