Hammerson rebuffs Klepierre  approach 

French mall owner launches £5bn bid to scupper intu takeover 

Klépierre, the French-based mall investor 20 per cent owned by Simon Property Group, has confirmed that it has made an unsolicited offer to buy Hammerson for 615p per share, a 40 per cent premium to the closing price on 16 March 2018. 

The Board of Hammerson rejected the proposal in less than 24 hours and under the Takeover Code Klépierre has until 16 April 2018 to make a new offer. 

In s Stock Exchange announcement Hammerson said: “The approach by Klépierre is unsolicited and entirely opportunistic in its timing, and the board of Hammerson has unanimously rejected the proposal on the grounds that it very significantly undervalues Hammerson, its track record of delivery, the quality of its portfolio, its market positions, and the opportunities it has for future value creation.” 

Hammerson’s board said it remains fully committed to the acquisition of Intu Properties although its shareholders have yet to vote to approve the deal and analysts have criticised it as diluting the quality of the overall portfolio and increasing Hammerson’s reliance in the UK market. 

Hammerson chairman David Tyler 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.” 

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