UPDATE: Simon raised bid to cement Mills acquisition

  • Comments
  • Print
Listen to this story

Subscriber Benefit

As a subscriber you can listen to articles at work, in the car, or while you work out. Subscribe Now
0:00
0:00
Loading audio file, please wait.
  • 0.25
  • 0.50
  • 0.75
  • 1.00
  • 1.25
  • 1.50
  • 1.75
  • 2.00

A $1.64 billion offer from Simon Property Group and a partner for Mills Corp. has been accepted, the Chevy Chase, Md.-based shopping center developer said today.

The offer was about 5 percent higher than the $24 per share Indianapolis-based Simon and Farallon Capital Management of San Francisco extended in an unsolicited bid Feb. 23.

Mills said today it has ended its previous merger agreement with Toronto-based Brookfield Asset Management Inc.

Simon, the nation’s largest shopping mall owner, and Farallon, which owns 10.8 percent of Mills stock, pursued Mills after Brookfield offered $1.35 billion.

Mills owns 38 malls across the country. Many are upscale and focused on entertainment. In early January, the company revealed accounting errors and official misconduct that it said might drive it into bankruptcy. Mills stock has tumbled from $65.85 a share in September 2005. It was trading for about $26 this week.


The deal is expected to close in 45 days.

Please enable JavaScript to view this content.

Story Continues Below

Editor's note: You can comment on IBJ stories by signing in to your IBJ account. If you have not registered, please sign up for a free account now. Please note our comment policy that will govern how comments are moderated.

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news. ONLY $1/week Subscribe Now

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In

Get the best of Indiana business news.

Limited-time introductory offer for new subscribers

ONLY $1/week

Cancel anytime

Subscribe Now

Already a paid subscriber? Log In