Intu Properties added Hotel Chocolat, Mitsubishi, The Florist and House to its list of new lessees on Thursday, as it told the market of ongoing momentum in its retail leasing following its April trading update.
(WebFG News) - Playtech: Deutsche Bank reiterates buy with a target price of 1,300p.
(WebFG News) - Shopping mall owner Intu Properties has bowed to the inevitable and admitted that it believes there is now "no realistic prospect" that its takeover will be approved by shareholders of larger suitor Hammerson, bringing the offer period to an end.
Hammerson: Jefferies upgrades to hold with a target price of 540p.
Hammerson's board is likely to be ousted after turning down a bid approach and scrapping their own takeover of Intu, Jefferies analysts said on Thursday as they upgraded the FTSE 100 shopping centre operator to 'hold'.
Hammerson has withdrawn its recommendation for its proposed £3.2bn takeover of Intu Properties, blaming problems in the UK retail market and opposition among some shareholders for its change of heart.
Intu Properties hailed a "strong" first quarter on Tuesday, with a record level of retailer demand, but it made no mention of its deal with Hammerson, which could be at risk.
Credit Suisse has upped its price target on neutral-rated Hammerson a day after it emerged that it recently rejected a £5bn bid from French shopping centre operator Klepierre, a scenario it deems to be more likely to go ahead than the planned acquisition of Intu Properties announced in December.
Shares in Hammerson surged on Monday as it confirmed that it recently rejected a £5bn bid from French shopping centre operator Klepierre.
Goldman Sachs and Credit Suisse have passed judgment on Hammerson and its proposed takeover of Intu - but with diverging views of the shopping centre operator's prospects.
FTSE 250 shopping centre operator Intu Properties - which announced a £3.4bn merger with Hammerson back in December - posted a rise in profit for the year on Thursday as like-for-like net rental income grew for the third successive year.
Hammerson shares offer 25% upside after the acquisition of shopping mall rival Intu, said Goldman Sachs, seeing a deal that will "significantly enhance" the company's power in a polarising market and generate "significant" efficiencies.
Hammerson's acquisition of shopping mall rival Intu Properties is a mix of "opportunism" and "defensiveness", said analysts at specialist M&A broker Olivetree Financial, who do not expect the deal to be blocked on competition grounds.
Shopping centre owner Hammerson has agreed to buy FTSE 350 rival Intu Properties in a £3.4bn all-share deal that will create a £21bn portfolio across Europe.
With the domestically-focused FTSE 250 having rallied to a near multi-decade price-to-earnings high, Liberum said on Monday that it now prefers the internationally-exposed top-flight index.
Intu Properties expects another year of rental income growth after a solid third quarter, but analysts were concerned about the potential industry "shockwaves" for the shopping centre developer by the impending discounted stake sale at a rival.
Tullow Oil: Jefferies downgrades to Underperform with a target price of 155p.
Provident Financial: RBC downgrades to Underperform with a target price of 775p.
British Land is a bellwether of the UK real estate office and retail market but while rents and asset prices are likely to decline it's 34% discount is overdone, Deutsche Bank said, upgrading the shares to 'buy' and those of sector peer Derwent London to 'hold' from 'sell'.
Intu Properties, the shopping centre owner, maintained its first-half dividend as it reported a flat net asset value and a fall in net rental income.