French shopping centre operator Klépierre has revealed it made a takeover bid for UK rival Hammerson, which was rejected.
Klépierre said it offered 615p per share for Hammerson, representing a premium of around 40.7% to Hammerson’s closing price on 16 March.
The proposal was rejected within 24 hours on 9 March. Hammerson said the proposals ”significantly undervalued” its business.
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.”
Hammerson, which owns Brent Cross in North London and Birmingham’s Bullring, is currently in the process of completing a £3.4bn merger with rival Intu.