The combination of Hammerson and Intu would create a pan-European portfolio of retail and leisure property valued at £21bn. It is anticipated that at least £2bn of this would be sold as part of a rationalisation.
Hammerson has received irrevocable undertakings or letters of intent from Intu shareholders, including Peel and the Intu directors to vote in favour of the takeover.
David Atkins, chief executive of Hammerson, said: "Bringing together the high-quality portfolios of both companies establishes Hammerson as a larger, leading European retail REIT, enhances shareholder returns and supports opportunities for long-term growth.”
Intu’s portfolio includes Lakeside Thurrock, Merry Hill in Dudley, the Gateshead Metrocentre and the Trafford Centre in Manchester.