Blackstone ups offer to $666 million in battle for UK's Warehouse REIT

July 10 (Reuters) - U.S. private equity firm Blackstone BX.N on Thursday raised its offer for Warehouse REIT WHRW.L to about 489 million pounds ($666 million), topping an agreed deal for the London-listed company from industry peer Tritax Big Box REIT BBOXT.L.

U.S.-based companies have been snapping up British assets recently, taking advantage of weaker UK valuations. UK-listed real estate investment trusts have also seen a flurry of deals as players look to bulk up in an uncertain economic backdrop.

Blackstone said its new offer valued Warehouse REIT shares at 115 pence apiece, an 8.3% premium to their closing price on June 3, the day before Blackstone disclosed its initial bid of 110.6 pence per share.

Warehouse REIT said on Thursday it was reviewing Blackstone's new offer, which comprises 113.4 pence per share in cash and a dividend of 1.6 pence per share.

Shares in Warehouse REIT closed the day up 2.7% at 115.4 pence, a little above the offer price, suggesting some investors think the bid battle could have further to run.

Warehouse REIT last month accepted a cash-and-stock offer from Tritax Big Box REIT that valued it at about 114.2 pence per share, or 485.2 million pounds.

Tritax on Thursday said it continued to believe that its buyout proposal was a "compelling proposition" for Warehouse shareholders.

Blackstone has said it wants to add Warehouse REIT to its logistics portfolio, while Tritax has said the business is complementary to its own.

Other British companies at the centre of bid battles include scientific instruments maker Spectris SXS.L and healthcare real estate investor Assura AGRP.L.

($1 = 0.7346 pounds)