Hammerson scraps €459m retail parks deal with Orion

Deposit of £21m is now immediately payable to the Dundrum Town Centre co-owner

Photograph : Matt Kavanagh / THE IRISH TIMES

Photograph : Matt Kavanagh / THE IRISH TIMES

 

Dundrum Town Centre part-owner Hammerson said on Wednesday it had terminated its £400 million (€459 million) deal to sell seven retail parks to private equity firm Orion, sending its shares down 2.5 per cent.

The company last month served a notice to Orion specifying that it was required to complete the deal by May 6th.

“Following close of business on 5 May 2020, Orion notified Hammerson that it had resolved not to complete [the sale and purchase agreement] on the 6 May 2020,” Hammerson said.

The mall operator said the deposit of £21 million held in escrow by its solicitors would become immediately payable to Hammerson.

Hammerson has been trimming debt and fixing its balance sheet by divesting some of its portfolio to focus on its flagship sites, premium outlets and city quarters across Europe. The company part-owns the Dundrum facility with Allianz. – Reuters