General Growth Properties gets $10 billion offer Simon Properties

Chicago: General Growth Properties gets $10 billion offer Simon Properties. Top two malls are merging in the country. The nation's top mall owner, Simon Property Group, United States’ top mall owner, are willing to fork out $10 billion to acquire General Growth Properties Inc. The later is country's second largest mall owner.

Simon has already put this in writing.

The offer, which was made on February 8, has already got supporters. A committee of unsecured creditors told Indianapolis-based Simon that they are willing to back the deal. Also they said that they would encourage General Growth to "engage with Simon promptly to allow the proposed transaction to be considered by General Growth's creditors and shareholders as soon as possible."

A release issued by Simon said that about $9 billion of the bid is in cash.

Besides, the company said that bondholders and lenders would be repaid after the takeover. Analysts are of the opinion that the cost would be about $7 billion. "Simon's offer provides the best possible outcome for all General Growth stakeholders," said David Simon, chairman and chief executive officer, in the release.

The offer has been called “far superior to any other third-party proposal or stand-alone plan that could be completed."

Illinois-based General Growth that had filed for bankruptcy in April 2009. It has some 200 malls in the country and employs 4,200 employees.