CAPITAL SHOPPING CENTRES DECLINES £2.9BN OFFER FROM US

CAPITAL SHOPPING CENTRES DECLINES £2.9BN OFFER FROM US ; SHOPPING mall owner Capital Shopping Centres (CSC) has rebuffed a £2.9billion takeover approach from US real estate group Simon Property in a row over a property deal. Capital said the 425p per share ­indicative offer from Simon under- valued it and was intended to prevent it buying Manchester’s Trafford Centre. Its shares rose 19¼p to 415½p on the approach.

Capital is planning to buy the centre from UK rival Peel for £1.6billion in return for giving Peel nearly a fifth of the group’s shares.

It claims the Trafford deal would cement its position as the UK market leader with 14 malls including Lakeside in Thurrock, Essex, and the MetroCentre in Gateshead, Tyne & Wear. However, Simon, which owns 5 per cent of ­Capital, wants the group to ditch the deal, claiming it would hand the ­company to Peel without it having to pay a premium.

Simon has also suggested Capital was paying over the odds for Trafford.Capital said yesterday’s offer was “yet another attempt” by Simon to frustrate the acquisition without putting forward an alternative to CSC ­shareholders.

It said it was delaying a special ­meeting due to be held on Monday to allow shareholders to vote on the ­Trafford acquisition. The meeting will now take place in late January and Capital is talking to the Takeover Panel about setting a “put up or shut up” date.

“It is appropriate to adjourn the EGM to ensure CSC’s shareholders are provided with the necessary ­information about the proposal,” it said. Simon said: “We believe our proposed offer is highly favourable. We are ready to start due diligence ­immediately.” For the latest updates PRESS CTR + D or visit Stock Market news Today

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