Simon Property places bid for Macerich takeover

Simon Property has announced on Monday a $16bn binding offer to acquire Macerich, a Californian real estate investment trust group.

The proposal follows multiple previous attempts to meet an agreement with Macerich, which, according to Simon, "has thus far refused to engage in discussions".

Simon is offering $91 per share in cash and stock. Including debt, the deal is worth $22.4bn.

However, Macerich has been planning a takeover defense with advisers, according to Wall Street Journal.

Chief executive David Simon said: "We urge Macerich to forego entrenching defensive tactics that obstruct the will of its shareholders and instead engage in serious discussions with us.

"It is our strong preference to work with Macerich to reach a mutually beneficial agreement, and we are available immediately to meet with Macerich and its advisers."

The decision to pursue the takeover was unanimously endorsed by the board of director at Simon Property, the group said.

Shares in Simon were up 0.26% to 181.05p on Monday at 10:26.