DOW JONES NEWSWIRES
General Growth Properties Inc. (GGWPQ) Chief Executive Adam Metz
issued a terse statement in response to mall giant Simon Property
Group Inc.'s (SPG) $10 billion takeover offer, signaling a
conflicting view on how the deal benefits each company.
"As we previously stated, our objective is to maximize value for
the company and its stakeholders," Metz wrote in a letter addressed
to Simon Property CEO David Simon.
"Understandably, your objectives are not aligned with ours,"
Metz added. "We hope you will, nonetheless, participate in our
process."
The statement followed a warning by Simon Property late
Wednesday that Simon might drop its takeover offer or go hostile if
General Growth didn't come to the bargaining table soon. In
response to the bid, smaller rival General Growth, which has been
operating under bankruptcy protection since last spring, said
earlier this week the offer wasn't sufficient.
Investors and analysts, meanwhile, are expecting Simon Property
to sweeten its bid with other suitors possibly in the wings.
Simon Property shares were recently up 1.8% at $77.19, and
General Growth was down 2.8% at $12.56.
-By John Kell, Dow Jones Newswires; 212-416-2480;
john.kell@dowjones.com