Klépierre, the French property group which owns more than 100 shopping centres across Europe, has made a £5bn takeover approach for Hammerson.
The proposal, which could damage Hammerson chief executive David Atkins’ plan to merge the company with Intu, was made on 8 March and rejected by the Hammerson board in less than 24 hours.
In a statement released this morning, Klépierre said: “Klépierre confirms that on 8 March 2018, it made a proposal on a non-adversarial basis to the board of Hammerson with the intention of engaging in a constructive dialogue regarding a possible offer to acquire the issued and to be issued share capital of Hammerson on a standalone basis at a value of 615 p per Hammerson ordinary share.”
“The proposal represents a premium of approximately 40.7% to the closing price of 437.1p per Hammerson ordinary share on 16 March 2018, and the consideration would comprise a combination of cash and shares in Klépierre.
David Tyler, chairman of Hammerson, said: “The proposal from Klépierre is wholly inadequate and entirely opportunistic.
“It is a calculated attempt to exploit the disconnect between our recent share price performance and the inherent value of our unique and irreplaceable portfolio which is delivering record results.
“Klépierre is asking our shareholders to accept a price for their Hammerson shares which is not only at a significant discount to their book value but includes a large element of paper in a company which in our view has a lower quality portfolio and lower growth prospects.
“The Hammerson board sees absolutely no merit in Klépierre’s proposal and has unanimously rejected it. The board strongly advises shareholders to take no action.”
In a statement, Hammerson said: “The board of Hammerson remains fully committed to the acquisition of intu Properties announced on 6 December 2017, which the board continues to believe will deliver significant value for Hammerson shareholders.”
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