February 10, 2020
Simon Property Group, Inc. (NYSE: SPG) (“Simon”) and Taubman Centers, Inc. (NYSE: TCO) (“Taubman”) have announced that they have entered into a definitive agreement under which Simon will acquire an 80% ownership interest in The Taubman Realty Group Limited Partnership. Simon, through its operating partnership, Simon Property Group, L.P., will acquire all of Taubman common stock for US$52.50 per share in cash and the Taubman family will sell approximately one-third of its ownership interest at the transaction price and remain a 20% partner in TRG. Simon expects to fund the total required cash consideration of approximately US$3.6 billion with existing liquidity.
Latham & Watkins represents Simon in the transaction with a corporate deal team led by Los Angeles partner Julian Kleindorfer and Chicago partners Mark Gerstein and Jason Morelli, with associates Owen Alexander, Andrew Tremble, and Victoria Wolfe, and with assistance from Los Angeles partner Lewis Kneib. Advice was also provided on tax matters by Los Angeles partner Ana O’Brien, with associate Janet Hsu; on benefits and compensation matters by Los Angeles partners David Taub and Michelle Carpenter, with associate Daniel Gocek; on real estate matters by Chicago partner Robert Buday, with associate Zonia Medina; on intellectual property matters by New York partner Jeffrey Tochner, with associate Pelin Serpin; and on environmental matters by Chicago counsel Sara Orr.