Shopping center operator Aliansce Sonae made public in the early hours of Friday (14) its proposed merger with rival brMalls, whose interest had been announced at the end of December. But today brMalls dropped the deal.
Under the business combination proposal made by Aliansce, brMalls shareholders would receive R$1.35 billion in cash, equivalent to approximately 20% of the company’s market value, in addition to approximately 265 million new Aliansce common shares, or 50% of its share capital. As a result, the exchange ratio would be approximately 0.32 Aliansce common share for each BR Malls common share.
That way, the merged company would have a 50%-50% composition.
In a material fact published hours later, on the morning of this Friday (14), brMalls discarded the agreement. According to the company, its board of directors unanimously decided to refuse the proposal, which had been sent to the company on the 4th.
According to brMalls, the proposal “considerably understates the fair economic value” of the company and its asset portfolio, not meeting the best interests of shareholders.
The refusal comes at a difficult time for the mall manager. As reported by leaf, malls will face many stress tests this year: doubts about the progress of the pandemic, the election year and its reflexes on consumer confidence and especially unfavorable macroeconomic conditions, with the wage bill falling and inflationary pressure.
At the same time, part of the satellite stores, measuring up to 200 m², began to migrate to the street or to strip malls (as they are called open-air galleries), in an attempt to escape the rent readjustment by the IGP-M, which in some cases reaches 47%, as pointed out by leaf.
With presence in 12 states and the Federal District, Aliansce has 27 malls in its portfolio, including Plaza Sul (SP), Shopping Leblon (RJ) and Boulevard Shopping BrasÃlia (DF).
brMalls manages 31 malls in 12 states, including Villa-Lobos (SP), NorteShopping (RJ) and Iguatemi Caxias do Sul (RS).
Aliansce Sonae currently has a market value of BRL 5.21 billion, while that of brMalls reaches BRL 6.85 billion, according to data from the trading and financial analysis software Refinitiv Eikon.
(With Reuters)
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