Prologis presented a "best and final" offer for Segro, valuing the company at £14 billion, or 993 pence per share. This latest proposal was contingent on unanimous board support from Segro, but Segro's board, including Chairman Andy Harrison, unanimously rejected it. Segro stated that the offer continued to undervalue the quality, scarcity, and long-term prospects of its logistics portfolio and platform. This rejection marks another hurdle in Prologis's attempt to acquire the European logistics property giant.
The offer represents a 9.7% premium to Segro's latest pro forma adjusted Net Asset Value (NAV) of 905 pence per share as of June 30, 2026. Prologis highlighted that this premium is among the highest paid for a UK real estate company in the last decade. However, Segro's NAV had actually declined from 925 pence per share to 905 pence per share over the six months leading up to June 30, 2026, a detail Prologis underscored as unusual for a company defending against a takeover bid. Prologis has repeatedly suggested that Segro's defense relies on unrealistic risk assessments and growth projections.
The proposed deal includes an exchange offer of 0.089 new Prologis shares for each Segro share, with a partial cash alternative option of up to £2.7 billion, equivalent to 20% of the total consideration. Prologis continues to assert that a combination would create significant long-term value, offering Segro shareholders participation in Prologis's superior earnings growth, liquidity, and valuation. Analysts like Matthew Read from QuotedData, however, viewed Prologis's bids as opportunistic, suggesting they ask Segro shareholders to forego significant potential upside for a relatively small interest in the combined entity.
