Simon Property might offer new deal for General Growth

NEW YORK: Simon Property Group Inc has been corresponding with bankrupt General Growth Properties Inc about revising its offer, sources close to the matter said on March 16.

Although no final offer has been made, Simon Chief Financial Officer Stephen Sterrett met on March 15 with General Growth representatives, a source said. In addition, Simon, the largest US mall owner, has responded to a letter sent by General Growth that sought more details on how it would fund a deal and if Simon would offer stock to General Growth's equity owners, the source said.

"Our goal is to maximise value for all stakeholders and we have developed a sound process to enable us to achieve that goal," a General Growth spokesman said in an e-mailed statement on the evening of March 16.

Simon has been working to line up a US$6 billion (RM19.85 billion) credit line with JPMorgan Chase & Co to finance a bid, sources said. In addition, the deal could include two sovereign wealth funds, sources said.

A partnership with private equity group Blackstone Group LP may or may not materialise, one source said. -- Reuters