Blackstone Agrees to Buy U.K.’s St. Modwen for $1.7 Billion (1)

Blackstone Group Inc. has confirmed it will offer 1.2 billion pounds ($1.7 billion) to buy St. Modwen Properties Plc despite opposition from a shareholder insisting the price is too low.

A deal would swell the private equity giant’s vast U.K.’s warehouse portfolio, adding land for future development. Blackstone is offering 542p per share in cash, according to a statement Thursday.

The money manager announced its intention to bid earlier this month and was met with resistance from J O Hambro Capital Management Ltd., which owns just over 9% of St. Modwen. Blackstone’s offer has secured the support of St. Modwen’s ...