Mall Operator Simon Property Buying a Major Competitor
Simon Property Group (NYSE: SPG) still believes in malls.
The owner of upscale shopping centers has agreed to buy 80% of Taubman Centers (NYSE: TCO). Simon will buy all of the common shares available at $52.50 per share in cash while the Taubman family will sell about one-third of its ownership interest, remaining a 20% partner in the Taubman brand (but won't have any equity in Simon).
In the deal worth $3.6 billion, Simon will be paying a just-over 50% premium on where the stock closed on Friday.
Source Fool.com