Prologis presses Segro after $16.6B offer rejected

Prologis has intensified its pursuit of Segro after the London-based logistics warehouse operator rejected a £12.6 billion ($16.6 billion) takeover bid last week. Prologis further outlined its financial and strategic thesis for the combination on Tuesday.

The San Francisco-based real estate investment trust said the all-stock transaction would unlock significant value for Segro (LSE.SGRO) shareholders beyond the initial 25% premium to share price. (Segro shareholders would receive .084 new Prologis shares for each share held and hold approximately 10.5% of Prologis' share capital after closing.)

Prologis (NYSE: PLD) said the deal gives Segro access to its larger logistics real estate network and its "fortress balance sheet." In addition to "lagging earnings and dividend growth," Prologis claims Segro trades at a discount because it is forced to lean on dilutive equity issuances to raise funds.

"Prologis' access to public and private capital that will enable Prologis to unlock and accelerate the embedded value of SEGRO's development and data center pipeline which Prologis believes SEGRO is unable to fully realize on a standalone basis given its balance sheet capacity and persiste

Fuente original: Yahoo Finance (https://finance.yahoo.com/real-estate/articles/prologis-presses-segro-16-6b-151433219.html)