The property firm behind Kings Norton Business Centre has unveiled a deal worth £109.4 million to buy warehouse specialist Brixton.
The planned combination will give Segro – formerly Slough Estates – a property portfolio worth £5.5 billion based on May valuations.
Chairman Nigel Rich described the addition of Brixton as a “unique opportunity” and said it bolstered Segro’s exposure to prime business locations such as Heathrow and west London. He added: “We believe this will be a high-quality and robust business, well-placed to improve returns for investors.”
Segro owns six of the largest industrial estates in the UK – Slough Trading Estate, Europe’s biggest, Heywood Distribution Park in Manchester, Woodside in Dunstable, Winnersh Triangle near Reading, Kings Norton and Treforest in Cardiff, Wales.
The company, with five million square metres of logistics, industrial and office space in ten countries, is offering its own shares in the deal. It will fund it by raising £250 million in a placing and offer of new stock.