6:47 p.m. Updated The Simon Property Group is preparing to raise its $10 billion offer for General Growth Properties in a bid to overcome a rival plan proposed by the bankrupt mall operator in concert with Brookfield Asset Management , people briefed on the matter told DealBook on Tuesday. Simon told General Growth in a letter sent Monday night that it expects to deliver a new proposal within the next few days, these people said. While there were no details on what the new offer would look like, Simon said it expects to allay concerns about antitrust issues and financing. 
Share:  6:47 p.m. Updated The <span class="company">Simon Property Group</span> is preparing to raise its $10 billion offer for General Growth Properties in a bid to overcome a rival plan proposed by the bankrupt mall operator in concert with Brookfield Asset Management , people briefed on the matter told DealBook on Tuesday. Simon told General Growth in a letter sent Monday night that it expects to deliver a new proposal within the next few days, these people said. While there were no details on what the new offer would look like, Simon said it expects to allay concerns about antitrust issues and financing. Tweet this 

The chief executive of the Simon Property Group said on Thursday a revised plan by management of General Growth Properties to emerge from bankruptcy would not put pressure on his company to sweeten its own $10 billion offer, Reuters reported . Simon's chief, David Simon, speaking at a conference at New York University , said that the General Growth proposal lacks certainty despite its new financial backing. Simon Property, the largest U. S mall owner, last month offered to buy General Growth, the second largest, in a plan that had support from many General Growth unsecured creditors. 
Share:  The chief executive of the <span class="company">Simon Property Group</span> said on Thursday a revised plan by management of General Growth Properties to emerge from bankruptcy would not put pressure on his company to sweeten its own $10 billion offer, Reuters reported . Simon's chief, David Simon, speaking at a conference at New York University , said that the General Growth proposal lacks certainty despite its new financial backing. Simon Property, the largest U. S mall owner, last month offered to buy General Growth, the second largest, in a plan that had support from many General Growth unsecured creditors. Tweet this 

Simon Property and lawyers representing General Growth's unsecured creditors had called the bankrupt mall owner's previous proposal for restructuring its debt too risky because it relied on raising capital from public markets. "Simon could pay much more than it originally offered and, perhaps, as much as a couple of dollars more per share than the value of the BAM/Fairholme/Pershing deal now on the table, and still get a good deal for Simon shareholders," said Jim Sullivan, an analyst with Green Street Advisors in Newport Beach, California. Sullivan made the comment in an e mail to Bloomberg News yesterday. General Growth, owner of New York's South Street Seaport and Boston's Faneuil Hall, filed the largest real estate bankruptcy in U. S history in April after amassing $27 billion in debt making acquisitions. 
Share:  <span class="company">Simon Property</span> and lawyers representing General Growth's unsecured creditors had called the bankrupt mall owner's previous proposal for restructuring its debt too risky because it relied on raising capital from public markets.<span class="sent"> "Simon could pay much more than it originally offered and, perhaps, as much as a couple of dollars more per share than the value of the BAM/Fairholme/Pershing deal now on the table, and still get a good deal for Simon shareholders," said <span class="analyst">Jim Sullivan</span>, an analyst with Green Street Advisors in Newport Beach, California.</span> Sullivan made the comment in an e mail to Bloomberg News yesterday. General Growth, owner of New York's South Street Seaport and Boston's Faneuil Hall, filed the largest real estate bankruptcy in U. S history in April after amassing $27 billion in debt making acquisitions. Tweet this 

"If General Growth does not raise enough money to pay unsecured creditors, they will be stuck with the equity securities of a highly leveraged company.". David Fick, an analyst with Stifel Nicolaus & Co in Baltimore, said the new plan is likely an effort to compel Simon to boost its offer. 
Share:  <span class="sent">"If General Growth does not raise enough money to pay unsecured creditors, they will be stuck with the equity securities of a highly leveraged company.". <span class="analyst">David Fick</span>, an analyst with Stifel Nicolaus & Co in Baltimore, said the new plan is likely an effort to compel <span class="company">Simon</span> to boost its offer.</span> Tweet this 

"If General Growth does not raise enough money to pay unsecured creditors, they will be stuck with the equity securities of a highly leveraged company.". David Fick , an analyst with Stifel Nicolaus & Co in Baltimore, said the new plan is likely an effort to compel Simon to boost its offer."These 
Share:  <span class="sent">"If General Growth does not raise enough money to pay unsecured creditors, they will be stuck with the equity securities of a highly leveraged company.". <span class="analyst">David Fick</span> , an analyst with Stifel Nicolaus & Co in Baltimore, said the new plan is likely an effort to compel <span class="company">Simon</span> to boost its offer."These</span> Tweet this 

Not matter what David Simon says, this IS going to be an issue. From the WSJ: National retailers are expressing growing concern that mall giant Simon Property Group Inc may gain too much market power if it succeeds in acquiring rival General Growth Properties Inc out of a bankruptcy proceeding. The concern raises the possibility that the deal might face antitrust criticism from retailers and others. 
Share:  Not matter what David <span class="company">Simon</span> says, this IS going to be an issue. From the WSJ: National retailers are expressing growing concern that mall giant <span class="company">Simon</span> Property Group Inc may gain too much market power if it succeeds in acquiring rival General Growth Properties Inc out of a bankruptcy proceeding. The concern raises the possibility that the deal might face antitrust criticism from retailers and others. Tweet this 

the South African Gordon family with 14.8 percent and United States based Simon Property ( SPG. N ) with 6.25 percent. both view the split positively."The main shareholders Gordon family reportedly already agreed to this, so unless there is a major, unexpected obstacle which comes up, there is a good chance the demerger will happen," Kempen & Co property analyst Remco Simon said. 
Share:  the South African Gordon family with 14.8 percent and United States based <span class="company">Simon Property</span> ( SPG. N ) with 6.25 percent. both view the split positively."The<span class="sent"> main shareholders Gordon family reportedly already agreed to this, so unless there is a major, unexpected obstacle which comes up, there is a good chance the demerger will happen," Kempen & Co property analyst <span class="analyst">Remco Simon</span> said.</span> Tweet this 

Simon and General Growth's committee of unsecured creditors lobbied against anything longer than 45 days, arguing that General Growth should immediately accept Simon's $10 billion offer. With the four month extension, General Growth now intends to embark on a two pronged process of simultaneously soliciting offers to acquire the company or recapitalize it. It would aim to file an exit plan by June. 
Share:  <span class="company">Simon</span> and General Growth's committee of unsecured creditors lobbied against anything longer than 45 days, arguing that General Growth should immediately accept <span class="company">Simon</span>'s $10 billion offer. With the four month extension, General Growth now intends to embark on a two pronged process of simultaneously soliciting offers to acquire the company or recapitalize it. It would aim to file an exit plan by June. Tweet this 

A federal judge on Wednesday granted General Growth Properties an additional four months of exclusivity to file its reorganization plan, giving the mall operator some breathing room as it fends off an unsolicited $10 billion takeover bid from the Simon Property Group. The four months is less than General Growth had requested, but still gives the company more time to prepare a complicated recapitalization proposal in which it is partnering with Brookfield Asset Management. Both General Growth's unsecured creditors committee and Simon had favored shortening the exclusivity period to at most 45 days. 
Share:  A federal judge on Wednesday granted General Growth Properties an additional four months of exclusivity to file its reorganization plan, giving the mall operator some breathing room as it fends off an unsolicited $10 billion takeover bid from the <span class="company">Simon Property Group</span>. The four months is less than General Growth had requested, but still gives the company more time to prepare a complicated recapitalization proposal in which it is partnering with Brookfield Asset Management. Both General Growth's unsecured creditors committee and Simon had favored shortening the exclusivity period to at most 45 days. Tweet this 

But there's an education process I think the industry is going to have to go through," Simon commented. When Simon's offer first surfaced, Rich Moore, an analyst at RBC Capital Markets told CoStar he also does not expect the FTC to be an issue. "About six years ago, the FTC said that the class of assets was retail real estate, not the different types or categories of retail real estate. There's something like 50,000 shopping centers in this country," said Moore, explaining that the combined portfolio, which would include nearly 500 shopping centers of various types, would represent a small percentage of that 
Share:  But there's an education process I think the industry is going to have to go through," <span class="company">Simon</span> commented.<span class="sent"> When <span class="company">Simon</span>'s offer first surfaced, <span class="analyst">Rich Moore</span>, an analyst at RBC Capital Markets told CoStar he also does not expect the FTC to be an issue.</span> "About six years ago, the FTC said that the class of assets was retail real estate, not the different types or categories of retail real estate. There's something like 50,000 shopping centers in this country," said Moore, explaining that the combined portfolio, which would include nearly 500 shopping centers of various types, would represent a small percentage of that....But there's an education process I think the industry is going to have to go through," <span class="company">Simon</span> commented.<span class="sent"> When <span class="company">Simon</span>'s offer first surfaced, <span class="analyst">Rich Moore</span>, an analyst at RBC Capital Markets told CoStar he also does not expect the FTC to be an issue.</span> "About six years ago, the FTC said that the class of assets was retail real estate, not the different types or categories of retail real estate. There's something like 50,000 shopping centers in this country," said Moore, explaining that the combined portfolio, which would include nearly 500 shopping centers of various types, would represent a small percentage of that. Tweet this