Segro has taken full control of a 21-property U.K. portfolio. Segro purchased the 50 percent of the Airport Property Partnership joint venture it did not already own from Aviva Group entities for £365 million ($439.8 million) in cash and assets.
The joint venture owns 21 direct property assets, valued at £1.1 billion ($tk billion). The majority of these properties are located at London’s Heathrow airport. Segro bought a 50 percent stake in Airport Property Partnership in June 2010 and acted as asset manager for the joint venture, with Aviva Investors as fund manager.
The property investment and development company will pay £216 million ($tk million) for the acquisition with cash raised through a share rights issue, and the rest it will cover in assets which it will sell to Aviva.
The purchase is part of Segro’s strategy to build scale in its core markets, under the expectation that having full control would improve operational flexibility and future decision making.