DISMISSIVE

A European shopping centre owner has threatened to complicate Hammerson’s multibillion-pound tie-up with Intu by making an approach for the group behind Aberdeen’s Union Square development.

Following reports yesterday, Klepierre, a French property giant with shopping centres in 57 cities across the globe, revealed that it had made a proposed 615p-per-share bid on 8 March, but said the move was snubbed by Hammerson in less than 24 hours.

The UK firm, which is also the joint owner of Glasgow’s Silverburn centre, branded the takeover approach from its European rival as “wholly inadequate” and stood by plans to seal a £3.4 billion agreement with Intu.

Shares in Hammerson leapt even as Klepierre stressed there was no guarantee that a firm offer would be made. Its £4.88bn cash-and-share approach represents a 41 per cent premium on Hammerson’s Friday share price of 437.1p.

David Tyler, chairman of Hammerson, described the Klepierre proposal as “entire-

0 Hammerson has a vast portfolio that includes Aberdeen’s Union Square

DAVID TYLER, CHAIRMAN ly opportunistic”. He said: “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.

“Klepierre 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 Klepierre’s proposal and has unanimously rejected it. The board strongly advises shareholders to take no action.” Hammerson agreed an all-share takeover of Intu in December, in a move that will create Britain’s biggest property company. The deal will see Hammerson shareholders owning 55 per cent of the combined business with Intu investors holding the remainder. Among Intu’s

“The Hammerson board sees absolutely no merit in Klepierre’s proposal and has unanimously rejected it.”