Hammerson has rejected an increased offer from European shopping centre giant Klépierre, stating that the offer still “significantly undervalued” the company.
Klépierre made a £5bn takeover approach last month for Hammerson, and has increased its offer to 635p per Hammerson share, to be paid in half Klépierre shares and half in cash.
Hammerson has swiftly rebuffed this revised offer, as it did the previous approach, adding that the new offer did not reflect Hammerson’s “track record of delivery, the quality of its portfolio, its market positions, and the opportunities it has for future value creation”. It has advised shareholders to take no action.
However, in a statement Hammerson said that it would remain open to discuss “any proposal from Klépierre which properly reflects the value of the company”.
The revised proposal was announced in a meeting between David Tyler, chairman of Hammerson, and the chairman of the executive Board of Klépierre, Jean-Marc Jestin, on 9 April.
David Tyler said: “The board has considered the revised proposal from Klépierre carefully. At 635p, it is only a 3% increase on the previous proposal and continues very significantly to undervalue the company.”
Hammerson has been awaiting the latest move from Klépierre in order to proceed with its £3.4bn takeover of Intu.
Klépierre now has until 16 April to make a firm offer. Hammerson said that there could be “no certainty” that a firm offer would be made.
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