Shares in Segro increased by over 3% after the firm stated that its growing data centre pipeline represents a "significant value creation opportunity".

The property investment and development firm stated in its latest trading that it has recently completed its latest powered shell data centre on the Slough Trading Estate, which added to 231,600 square metres of development completions in 2025.

Furthermore, it added that it has a "healthy pipeline of further opportunities under negotiation", including powered shell and fully fitted data centres across the UK and continental Europe.

In the year to date, Segro stated that it has signed £53m in new headline rent, of which £22m was signed in the third quarter.

This compares to £15m in the previous year.

It added that its "prime, modern portfolio" continues to perform well, with continued strong like-for-like net rental income growth.

Chief executive at Segro, David Sleath, said: "We have made good progress in capturing the significant mark-to-market rent potential in our existing portfolio, whilst maintaining occupancy levels and retaining customers.

"Momentum continues to build in our profitable development programme. We had our strongest quarter of pre-letting activity since Q1 2024, signing £7m of deals versus £3m in H1 2025, and have a healthy pipeline of further projects under discussion with enquiry levels increasing post the summer.

"These factors give us confidence in our ability to capture the embedded growth potential in our existing portfolio and build out our exceptional landbank, which provide the opportunity to double our rent roll. This will support the delivery of further compound growth in earnings and dividends, with significant further value creation upside from our growing data centre pipeline."

Investment director at AJ Bell, Russ Mould, said that the latest news has pricked up the ears of investors.

He concluded: "Segro caught the market’s attention with talk of a growing data centre pipeline. Investors are constantly looking for new ways to play the AI theme, having become well-versed with opportunities among semiconductor companies.

"With talk of significant sums being invested in data centres, names like Segro have suddenly found more investors are interested in what they’re doing. It also helps that Segro has reported improved occupier sentiment."

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