Segro Rejects $18.2 Billion Prologis Bid as Standoff Deepens

Chairman Andy Harrison stated that the proposal failed to capture the intrinsic value of Segro’s portfolio, which includes 10.9 million square metres of European warehouse space and a growing data centre pipeline aimed at the AI market. Despite the board’s firm stance, Prologis has taken the unusual step of appealing directly to Segro shareholders, arguing that the deal offers superior flexibility and immediate financial upside. The offer, valued at £9.93 per share, represents a 34% premium over the company's valuation prior to the public disclosure of interest.

Market sentiment remains jittery as the deadline to formalise an agreement approaches. Segro shares dipped 2.2% on news of the rejection, reflecting investor anxiety that the U.S. bidder might walk away from the table. Analysts suggest that while the board is holding out for a higher price—anchored near 1,300 pence—pressure is mounting from institutional investors eager for the company to engage. The potential acquisition marks a significant moment for the London Stock Exchange, which has seen an uptick in international interest for undervalued British blue-chip firms.