Maine Mall owner eyed for $10B
The country's largest shopping mall owner has made a bid to buy the bankrupt owner of the Maine Mall for $10 billion.
Indianapolis-based Simon Property Group Inc. yesterday announced the hostile bid to buy Chicago-based General Growth Properties, which owns the South Portland mall and filed for bankruptcy protection last April, according to the Associated Press. Under the terms of the offer, General Growth's unsecured creditors would be paid in full, a total of $7 billion, and shareholders would receive the remaining $3 billion in cash and assets. The bid is considered hostile because General Growth's board did not respond to a formal offer made last week.
The second-largest mall owner in the nation, General Growth Properties owns 200 malls in 44 states, and bought the Maine Mall in 2003. The company has $27 billion in debt, making it the largest real estate bankruptcy case in U.S. history, according to the AP. In December, a bankruptcy court approved its plan to restructure $10.25 billion in debt, and a plan for restructuring another $1.7 billion is awaiting approval.
Go to the article from the AP >>
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