Prologis has announced its "best and final" acquisition offer for Segro, valuing the logistics firm at £14bn.

The US firm said its new offer, which consists of 0.092 new Prologis shares for each Segro share and a partial cash alternative of up to £3.5bn, will not be increased, believing that it provides a "compelling opportunity for both sets of shareholders".

The offer values each Segro share at £10.37, marking a premium of 39% on the British firm’s closing price on 23 June, which is the day prior to the commencement of the offer period.

The latest update comes after the US company said yesterday that it was “disappointed” with its discussions with Segro, regarding a “credible path” to a transaction capable of recommendation.

In its latest offer, Prologis has recommended that Segro shareholders encourage the board to extend the offer deadline, which ends at 5pm today, and recommend the combination deal.

CEO at Prologis, Dan Letter, said: "There is no doubt a combination of both companies would deliver meaningful value. We have listened to feedback from shareholders and this morning, we have improved our proposal to make a compelling offer to the Segro Board. We run Prologis with discipline and this is our best and final offer."

Following the announcement, shares in Segro increased by over 6%.

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