General Growth boosts stake in Brazil's Aliansce

AP News
Posted: Aug 15, 2012 8:44 AM
General Growth boosts stake in Brazil's Aliansce

CHICAGO (AP) — Shopping mall operator General Growth Properties Inc. is boosting its stake in Brazil's Aliansce Shopping Centers S.A.

General Growth said Wednesday that it is buying Pershing Square Capital Management LP's 14.1 percent stake in shopping mall owner Aliansce for $195.2 million. This will give General Growth 45.6 percent ownership of the company.

General Growth said it plans to pay for the deal with available cash. The transaction is targeted to close in the third quarter.

Aliansce, based in Rio de Janeiro, owns interests in 18 malls, three of which are under development.

General Growth currently owns, or has a stake in, 150 regional shopping malls. Earlier this month, the Chicago-based company reported lower funds from its second-quarter operations due to a higher liability for warrants stemming from its reorganization under Chapter 11 bankruptcy protection, from which it emerged in November 2010.