Hammerson: 'Klépierre proposal difficult to ignore' says CS

(CercleFinance.com) - While it is still neutral of the British commercial property group Hammerson, Credit Suisse (CS) this morning raised its target price for the share from 460 pence to 550 pence.

According to analysts, the "Klépierre proposal is difficult to ignore."

Yesterday, the French real estate company Klépierre confirmed that it had recently approached Hammerson to make a takeover bid of 615 pence per share, an offer that British company's board of directors turned down in just a day.

According to Credit Suisse, this proposal, which represents a 41% premium to last Friday's share price, "is hard to ignore," with the broker believing several of Hammerson's shareholders could be tempted to extract a formal proposal. Last week the broker resumed its rating differential between Hammerson (Neutral) and Intu (Underperform) based on a decreased probability that Hammerson's takeover offer was successful; Klépierre's announcement further reduces that likelihood.



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