A £2.9bn deal which could create the UK’s biggest property company could be concluded within days.
A consortium comprising the Peel Group, the Olayan Group of Saudi Arabia and Canada’s Brookfield Property Group confirmed that they are considering a possible cash offer for the issued share capital of Intu not already owned by members of the consortium back in October. Reports suggest talks have made good progress, and the process has been extended to the end of this week.
An announcement from Intu said: “Good progress has been made with the Consortium.” It continued: “A further announcement will be made when appropriate. There can be no certainty that any offer will be made for the Company, nor as to the terms on which any offer might be made.”
Peel Group is already one of the largest property firms in the country owning 13m sq.ft. of property, 33,000 acres of land and a portfolio worth £2.3bn.
Intu owns 10 of the 25 largest UK shopping centres, totalling 21m sq.ft. of space. Its portfolio includes Lakeside in Essex, the Metrocentre in Newcastle, the Trafford Centre and Arndale Centre in Manchester and Merry Hill in the West Midlands.
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