In multi-billion dollar deal.
Westfield Corporation has been acquired by European commercial property giant, Unibail-Rodamco in a deal worth $32.7 billion, to create the world’s premier developer and operator of flagship shopping destinations.
The value proposition includes:
- the creation of a global property leader with $95.4 billion of gross market value in 27 retail markets and cities
- 2 billion visits annually for global retailers and brands across Europe and select markets in the United States
- the progressive roll-out of the Westfield brand in the Group’s flagship shopping destinations
- strong organic long-term growth prospects through the world’s largest development pipeline of $19.1 billion focused on flagship assets in key markets
- a best-in-class management team with the support of 3,700 employees
Christophe Cuvillier will be the group CEO and Colin Dyer will be the group chairman of the supervisory board.
Commenting on the transaction, Cuvillier said, “All of us at Unibail-Rodamco have immense respect for what the Lowy family and the Westfield team have accomplished with the Westfield brand and the company’s iconic collection of world class shopping destinations.
“The acquisition of Westfield is a natural extension of our strategy of concentration, differentiation and innovations. It adds a number of new attractive retail markets in London and the wealthiest catchments areas in the United States.
“We believe that this transaction represents a compelling opportunity for both companies to realise benefits not available to each company on a standalone basis, and creates a strong and attractive platform for future growth.”
Westfield chairman, Sir Frank Lowy AC commented, “This transaction is the culmination of the strategic journey Westfield has been on since its 2014 restructure. Unibail-Rodamco’s track record makes it the natural home for the legacy of Westfield’s brand and business. We look forward to seeing Westfield continue to grow as part of the world’s premier owner of flagship shopping destinations.”
A statement from Westfield said following the transaction, the Lowy family intends to maintain a substantial investment in the group.
The transaction is conditional upon the satisfaction of customary conditions, including Australian court approval and the approval of Unibail-Rodamco shareholders and Westfield security holders, and is expected to close in H1 2018.