Prologis Rebuffed in $16.6 Billion Bid for U.K.’s Segro

By the Editorial Team · Thursday, June 25, 2026

Prologis has made a £12.6 billion unsolicited takeover offer for Segro, which Segro's board has firmly rejected, citing undervaluation and confidence in its independent growth plan. The bid highlights rising U.S. interest in British companies and positions Prologis to expand further into European industrial and data center real estate amid a competitive market.

Prologis, the world’s largest industrial real estate owner, has made an unsolicited £12.6 billion ($16.63 billion) takeover bid for U.K.-based Segro, which the smaller company has rejected. The offer marks the latest in a series of U.S. bids for major British companies amid growing trans-Atlantic dealmaking that has shaken the London Stock Exchange, with recent approaches to easyJet, Tate & Lyle, DCC, and Schroders.

Prologis proposed an all-stock deal, offering Segro shareholders 0.084 new Prologis shares for each Segro share, valuing Segro at 925 pence per share. This price reflects a 25% premium over Segro’s closing price immediately before the bid was announced. Following news of the offer, Segro’s shares rose by as much as 17% in European trading but remained below Prologis’s stated valuation.

Segro’s board criticized the bid as opportunistic, suggesting it exploited a temporary disconnect between the company’s share price and long-term prospects exacerbated by geopolitical uncertainties. The board unanimously and firmly declined the proposal, asserting that the offer significantly undervalued the company and did not align with the board’s view of Segro’s intrinsic worth. Segro emphasized its confidence in delivering substantial shareholder value independently, citing a clear strategic plan, a robust balance sheet, and an attractive development pipeline that includes data centers.

Prologis, headquartered in San Francisco, highlighted the strategic rationale for combining the two companies. The bidder noted that the deal would be its largest since acquiring Duke Realty in 2022 for $26 billion, including debt, which bolstered its position in e-commerce logistics. Prologis has recently sought to expand into data center real estate to capitalize on growing artificial intelligence demand. The company argued that a merger would provide Segro shareholders with diversification benefits and better access to global growth markets.

Prologis also pointed to its experience in integrating large-scale acquisitions and extracting operational synergies. It described Segro’s European portfolio as highly complementary to its own, suggesting that greater scale and balance-sheet strength would help accelerate Segro’s development and data center initiatives.

Under U.K. takeover regulations, Prologis has until July 22 to either submit a firm offer or withdraw its proposal. Meanwhile, Segro remains focused on executing its independent strategy amid the ongoing unsolicited bid.

This article was reported by synthesizing coverage from multiple independent news outlets to present a balanced, unbiased account. Read about our editorial standards. Spotted an error? Let us know.