click for accessibility tool

This site uses cookies to improve your experience.

We use cookies to offer you better browsing experience. Cookies enhance site navigation, analyze site usage, and assist in our marketing efforts.To understand more about how we use cookies or to change your cookie preferences, visit our privacy and cookies page or click on ‘Show settings’. By clicking ‘Accept all Cookies,’ you agree to the storing of cookies on your device.

Privacy Policy Centre

When you visit any website, it may store or retrieve information on your browser, mostly in the form of cookies. This information might be about your preferences or your device and is mostly used to make the site work as you expect it to. The information does not usually directly identify you, but it can give you a more personalized web experience.

Because we respect your right to privacy, below you will find descriptions on the types of cookies used on this site and options to opt out where preferred. Please note blocking some types of cookies may impact your experience of the site and the services we are able to offer.

These cookies are necessary for the website to function and cannot be switched off in our systems. They are usually only set in response to actions made by you which amount to a request for services, such as setting your privacy preferences, logging in or filling in forms.

You can set your browser to block or alert you about these cookies, but some parts of the site will not then work. These cookies do not store any personally identifiable information.

These cookies allow us to count visits and traffic sources so we can measure and improve the performance of our site. They help us to know which pages are the most and least popular and see how visitors move around the site.
All information these cookies collect is aggregated and therefore anonymous. If you do not allow these cookies we will not know when you have visited our site, and will not be able to monitor its performance.

These cookies allow us to count visits and traffic sources so we can measure and improve the performance of our site. They help us to know which pages are the most and least popular and see how visitors move around the site.
All information these cookies collect is aggregated and therefore anonymous. If you do not allow these cookies we will not know when you have visited our site, and will not be able to monitor its performance.

Privacy and cookies

Treasury policy

Gearing

We consider the key leverage metric for SEGRO to be proportionately consolidated (“look-through) loan to value ratio (LTV) which incorporates assets and net debt on SEGRO’s balance sheet and SEGRO’s share of assets and net debt on the balance sheets of its joint ventures. The LTV at 31 December 2022 on this ‘look-through’ basis was 32 per cent (31 December 2021: 23 per cent).

SEGRO’s borrowings contain gearing covenants based on Group net debt and net asset value, excluding debt in joint ventures. The gearing ratio of the Group at 31 December 2022, as defined within the principal debt funding arrangements of the Group, was 41 per cent (31 December 2021: 25 per cent). This is significantly lower than the Group’s tightest financial gearing covenant within these debt facilities of 160 per cent.

Property valuations would need to fall by around 48 per cent from their 31 December 2022 values to reach the gearing covenant threshold of 160 per cent.

FX Hedging

The Group has negligible transactional foreign currency exposure, but does have a potentially significant currency translation exposure arising on the conversion of its substantial foreign currency denominated assets (mainly euro) and euro denominated earnings into sterling in the Group consolidated accounts.

The Group seeks to limit its exposure to volatility in foreign exchange rates by hedging its foreign currency gross assets using either borrowings or derivative instruments. The Group targets a hedging range of between the last reported LTV ratio (32 per cent at 31 December 2022) and 100 per cent.

At 31 December 2022, the Group had gross foreign currency assets which were 76 per cent (31 December 2021: 62 per cent) hedged by gross foreign currency denominated liabilities (including the impact of derivative financial instruments).

Interest Rate

The Group’s interest rate risk policy is designed to ensure that we limit our exposure to volatility in interest rates.

The policy states that between 50 and 100 per cent of net borrowings (including the Group’s share of borrowings in joint ventures and associates) should be at fixed or capped rates, including the impact of derivative financial instruments.

At 31 December 2022, including the impact of derivative instruments, 95 per cent (31 December 2021: 65 per cent) of the net borrowings of the Group (including the Group’s share of borrowings within joint ventures and associates) were at fixed or capped rates. As interest rates have fallen, however, the gap between absolute fixed cover and the protection offered by caps has increased. The pure fixed only level of debt is 83 per cent at 31 December 2022 (31 December 2021: 46 per cent).

image

Overview and strategy

This page features an overview and information on sources of debt funding, debt maturity profile, credit rating, loan to value and cost of debt.

Find out more
image

Bonds

With details about our Green Euro Bond portfolio, the Sterling Bond portfolio, Bond Prospectus downloads and Euro Medium Term Note Programme Downloads

Bonds
image

US private placements

Full details regarding the US Private Placement portfolio as at 30 June 2022

Find out more
image

Bank facilities

With the relevant information on our bank facilities

Find out more
image

Joint venture debt

SEGRO owns 50% of the SEGRO European Logistics Partnership (SELP) joint venture.

Find out more
image

Debt investor relations contacts

Visit this page for details on the relevant debt investor relations contacts

Find out more