Unibail-Rodamco’s planned acquisition of two shopping malls in Warsaw has run into a regulatory snag in Warsaw, according to reliable sources. The transaction was expected to close by the end of June 2010, 'subject to customary closing conditions and antitrust approval’.
Unibail-Rodamco’s planned acquisition of two shopping malls in Warsaw has run into a regulatory snag in Warsaw, according to reliable sources. The transaction was expected to close by the end of June 2010, 'subject to customary closing conditions and antitrust approval’.
A company spokesman confirmed that approval had not yet been given, but declined to comment on reports that the competition authority was blocking the deal. 'The process to obtain regulatory approval is a normal process and no decision has been taken yet,' he said.
Back in February, the Franco-Dutch company announced it was acquiring Simon Ivanhoe's shopping centre portfolio in France and Poland for a total of EUR 715 mln. Among the operational assets being acquired are the 103,000-m2 Arkadia and the 35,400-m2 Wilenska Station malls in the Polish capital.
The deal would leave Unibail-Rodamco, the largest listed property company in Europe, with major stakes or in control of four of the largest shopping centres in Warsaw. This would make the retail specialist one of the most dominant players in the market, sources say.
Unibail-Rodamco already owns major stakes in the Warsaw shopping centres Zlote Tarasy (89,200m2) and Mokotow (62,290 m2). Mokotow, Zlote Tarasy and Arkadia dominate the north, centre and south of the city.
The EUR 715 mln deal is one of the largest so far this year. CEO Guillame Potrinal said in February that the transaction was a unique opportunity to reinforce Unibail-Rodamco's presence in the large shopping centre segment in both Paris and Warsaw.