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Co-Owner Rejects 'Opportunistic' €5.6 Billion Bid For Dundrum Town Centre

Published on Mar 21 2018 11:45 AM in Retail tagged: London Stock Exchange / Hammerson / Dundrum Town Centre / Klépierre

Co-Owner Rejects 'Opportunistic' €5.6 Billion Bid For Dundrum Town Centre

Property Company Hammerson has reportedly rejected an 'opportunistic' takeover offer of £4.9 billion (€5.6 billion) for the Dundrum Town Centre from French mall operator Klépierre.

The UK property giant which also co-owns the Ilac Centre and the Pavilion Shopping Centre in Swords claimed that the bid was ‘wholly inadequate’ for the value of its portfolio, reports Fora.ie.

It is believed that in a recent statement to the London Stock Exchange, the company’s chairman, David Tyler, said the offer was '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,” Tyler said.

Unamimous Rejection

Tyler said Hammerson’s board saw 'absolutely no merit' in the proposal and had unanimously rejected the approach.

The Klépierre offer reportedly represented a 40% premium on Hammerson’s closing share price, however it was well below the company’s share value of early 2015.

The company posted an income at its Irish properties to £34.8 million last year.

Its like-for-like net rental income growth was 7.4% during the year, a performance Hammerson said 'was primarily driven by rent reviews and new lettings at Dundrum Town Centre'.

Anchor retail tenants at the Dundrum Town Centre currently includes Tesco and Marks & Spencer.

© 2018 - Checkout Magazine by Donna Ahern

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