Segro rejects £12.6bn takeover bid from US real estate giant Prologis

Segro, a prominent FTSE 100 warehouse landlord, has rejected a £12.6 billion ($16.62 billion) takeover proposal from U.S. real estate giant Prologis. The unsolicited, all-share offer valued Segro's shares at 925 pence each, representing a 24.7% premium to its closing price on Tuesday. Prologis urged Segro shareholders to encourage the company's board to engage with the U.S. firm, arguing that Segro trades at a persistent discount to its net asset value and faces structural constraints, including balance sheet limitations, that prevent it from fully unlocking value in its development and artificial intelligence data center pipeline.

Under the terms of the proposed combination, Segro shareholders would have received 0.084 new Prologis shares for each share they held. The approach marks the latest attempt by a U.S. firm to acquire a London-listed company amid weaker British valuations. Segro could not be immediately reached for comment. Under British takeover rules, Prologis has until July 22 to unveil a firm offer for Segro or walk away.