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Property investment trust Segro (LON:SGRO) has agreed to sell its portfolio of offices in Bath Road, Slough, for £325mln.
The sale price means the company will net an initial yield of 5.6% and is a small premium to book value at 30 June 2015.
The portfolio, in the Slough trading estate, contains more than 972,000 square feet of offices leased to clients including blue-chip, national and international businesses.
One office building is currently being developed and Segro will continue with the management of this project until it is completed.
Proceeds from the sale will be used to reduce the company's debt and to fund its development pipeline, including new offices in the remainder of the Slough trading estate.
David Sleath, Segro's chief executive, said: “With this disposal, over the past four years, we will have disposed of over £2.2bn of suburban offices and other, non-core, assets and invested over £1.7bn in the acquisition or development of new assets.”
The deal, which will lower Segro’s pre-tax profit for the year by around £9.5mln, is expected to complete during January next year.
Shares added 0.42% to 431.60p.