Indianapolis — Simon Property Group, Inc. has completed its acquisition of an 80% ownership interest in The Taubman Realty Group Limited Partnership (TRG) for approximately $3.4 billion. Under the terms of the transaction, Simon, through its operating partnership, Simon Property Group, L.P., acquired all of Taubman Centers, Inc. (TCO) common stock for $43.00 per share in cash, and the Taubman family sold approximately one-third of its ownership interest at the transaction price and remains a 20% partner in TRG.
“We are very pleased to complete this transaction and to add some of the world’s premier retail assets to our portfolio,” says David Simon, chairman, CEO and president. “I look forward to partnering with the Taubmans in this exciting new joint venture, and to driving strong performance at TRG’s properties.”
“David and I share a vision for optimizing TRG’s assets and a strong commitment to our shoppers, retail partners and communities,” says Robert Taubman, chairman, president and CEO of TRG. “I am excited to work with the entire Simon team as we share ideas and implement best practices to enhance the operations and cash flow of our new joint venture.”
Total consideration for the acquisition was approximately $3.4 billion.
BofA Securities, Citigroup Global Markets Inc. and Evercore Group, L.L.C. are serving as financial advisors to Simon and Paul, Weiss, Rifkind, Wharton & Garrison LLP and Latham & Watkins LLP are serving as legal advisors. Goldman Sachs & Co. LLC is serving as financial advisor to Taubman and Wachtell, Lipton, Rosen & Katz and Honigman LLP are serving as legal advisors. Taubman retained Lazard as its independent financial advisor and Kirkland & Ellis LLP as its independent legal counsel.
Simon is a real estate investment trust engaged in the ownership of premier shopping, dining, entertainment and mixed-use destinations. For more information, visit www.simon.com.
Taubman Realty Group (TRG) is engaged in the ownership, management and/or leasing of 26 regional, super-regional and outlet malls in the U.S. and Asia. Founded in 1950, TRG is a joint venture between Simon Property Group and the Taubman family and is headquartered in Bloomfield Hills, Mich. Taubman Asia, founded in 2005, is headquartered in Hong Kong. For more information, visit www.taubman.com.
SOURCE: Simon Property Group