Prologis has made a third takeover proposal for SEGRO PLC (LSE:SGRO), valuing the FTSE 100 warehouse landlord at approximately £13.5 billion and introducing a partial cash alternative, only for the board to reject the approach once again.
Rebuffing the approach, the UK warehouse group told investors: "Should Prologis submit an improved proposal that more appropriately reflects the value of SEGRO's compelling prospects, SEGRO would continue to make themselves available to engage further with Prologis."
The US logistics property giant's third proposal, made on 16 July and rejected the following day, comprises 0.0890 new Prologis shares for each SEGRO share, a 6% increase on its original terms.
It also includes a partial cash alternative of up to £2.7 billion, representing 20% of the total consideration, at a fixed price of 1,000p per SEGRO share, subject to pro-rata scale-back.
Assuming a shareholder elects for 20% cash, the proposal values each SEGRO share at 993p based on Friday's closing prices.
That represents a premium of 33.8% to SEGRO's undisturbed share price of 742p on 23 June, the day before the offer period began, and 9.7% above its pro forma adjusted net asset value of 905p.
The disclosure sets up a tense final act, with Prologis facing a deadline of 5 pm on Tuesday, 22 July, to either announce a firm intention to make an offer or walk away under the Takeover Code.
Prologis also made a second proposal on 10 July, which was rejected two days later, and confirmed it would explore a secondary listing of its shares in London if there is sufficient investor demand.
The company urged SEGRO shareholders to press their board to recommend a deal, and mounted a pointed attack on the defence case SEGRO set out earlier this month.
It said SEGRO's 8% discount rate understates the execution risk attached to speculative, long-dated and often un-zoned development projects, and pointed to the revocation of data centre entitlements in Paris as evidence of risk in its powered land bank.
Prologis also noted that SEGRO's reported net asset value fell 2.2% in the first half of 2026, and questioned why its defence valuation adds a "cluster" premium while the company plans to dispose of prime assets into a joint venture at NAV.
The bidder reminded shareholders that SEGRO rebuffed an all-share approach at 963p in March 2024, arguing they could be 36.5% better off today had that deal proceeded.
SEGRO has dismissed the pursuit as "inadequate, opportunistic and one-sided", with chairman Andy Harrison accusing Prologis of trying to acquire the company on the cheap while its share price was dislocated by the Middle East conflict.
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