Advertisement
What really powers the cloud? Behind every Google search, A...
A lot of what defines a home isn’t visible at handover. I...
Private equity has played a significant role in shaping Indi...
Luxury real estate is one of the most talked-about segments ...
Airports play a much bigger role than just enabling travel -...
Warehouse developer and landlord Segro has rejected an all-share takeover proposal from U.S.-based logistics real estate company Prologis that valued the UK firm at approximately GBP 12.6 billion (USD 16.62 billion). The proposal offered Segro shareholders new Prologis shares at a value representing a significant premium to the company's latest market price. Following the rejection, Prologis has appealed directly to shareholders and must decide by July 22 whether to submit a formal offer or withdraw its interest under UK takeover regulations. The proposed deal would have brought together two major players in the global logistics property sector.
Segro has turned down an all-share takeover proposal from U.S. logistics real estate giant Prologis that valued the British warehouse landlord at around GBP 12.6 billion, equivalent to USD 16.62 billion.
According to details disclosed by Prologis, the proposed transaction would have offered Segro shareholders 0.084 new Prologis shares for each Segro share they owned. Based on the terms of the proposal, the offer implied a value of 925 pence per Segro share.
The proposed consideration represented a premium of 24.7% over Segro's most recent closing share price. Despite the premium, Segro's board decided not to engage with the proposal and rejected the approach.
Following the rejection, Prologis urged Segro shareholders to encourage the company's board to enter discussions regarding the potential combination. The U.S. company indicated that it continues to see strategic merit in bringing together the two businesses.
A combination of Prologis and Segro would create one of the world's largest logistics real estate platforms, expanding exposure across key warehouse and distribution markets in Europe and other major global regions. Both companies are among the most prominent owners and developers of logistics and industrial properties, a sector that has benefited over the past decade from the growth of e-commerce, supply chain modernization and rising demand for distribution facilities.
Segro is one of the UK's largest listed warehouse landlords, with a portfolio spanning urban warehousing, industrial estates and logistics assets across the UK and continental Europe. Prologis, meanwhile, is widely regarded as the world's largest logistics real estate company and has built a substantial presence across North America, Europe, Asia and Latin America through acquisitions and development projects.
Under UK takeover regulations, Prologis now has until July 22 to either announce a firm intention to make an offer for Segro or withdraw its pursuit. Any extension to the deadline would require approval under the applicable takeover framework.
Source Reuters
Advertisement
Facebook
Whatsapp
