Britain's Segro has agreed to sell its U.S. life sciences real-estate business to Health Care Property Investors for $2.9 billion and return 250 million pounds ($500 million) of the proceeds to shareholders.
The cash disposal of Slough Estates USA, expected to be completed in the third quarter, follows a review of strategic options for the business announced in November as the company
moves to focus on its U.K. and continental Europe assets, Segro, formerly Slough Estates, said in a statement on Monday.
The net proceeds receivable would amount to 574 million pounds ($1.14 billion) after deducting tax, debt and related costs and would be used to pay a special dividend of 250 million pounds and to reduce debt, Segro said.
The gross sales amount represents a premium of 26% over book value of the property assets as of end-December.
Slough Estates USA comprises 83 properties in the San Francisco Bay area and San Diego County, serving 61 customers. It is also developing a 771,890 square feet Pfizer Global Research and Development Center in San Diego.