Hammerson has rejected a £5 billion takeover attempt by Klépierre, a move that could complicate the Birmingham Bullring owner’s £3.4 billion tie-up with Intu.
Klépierre, a French property giant with shopping centres in 57 cities around the world, made a proposed 615p-per-share bid on March 8 “with the intention of engaging in a constructive dialogue” about a takeover.
However, it said the bid was rejected by Hammerson in less than 24 hours.
In a statement to the London Stock Exchange, Klepierre said there was no guarantee a firm offer would be made.
Any intention to do so must be tabled by 5pm on April 16 as per the City Code on Takeovers and Mergers.
The move comes after Hammerson agreed a £3.4 billion takeover of Intu in December last year, which will create the UK’s biggest property company.
The deal will result in Hammerson shareholders owning 55 per cent of the combined firm while Intu investors own the remainder.
However, Klépierre’s shock interest in Hammerson could threaten to derail the tie-up.
It comes at a tough time for Hammerson, which fell out of the FTSE 100 after seeing its share price slide in response to tough market conditions for retailers in recent months.
Hammerson also announced last month a 6.9 per cent rise in net rental income for the year to December 31 to £370.4 million, up from £346.5 million a year earlier.
The firm owns shopping centres like the Bullring in Birmingham, Cabot Circus in Bristol, Victoria Gate in Leeds, Westquay in Southampton and Brent Cross in London.
Meanwhile, Intu operates an eponymous chain of centres such as Lakeside in Essex and Trafford Centre in Manchester, and have co-ownership of St David’s in Cardiff.