At a conference in Beverly Hills, CA on Tuesday, CEO David Simon said Blackstone was interested in working with Simon on the deal. Initially, Blackstone was interested in joining Simon in buying out the entire company. According to reports, Simon is quoted as saying, Blackstone's "number one focus has been on being our partner if we're able to buy the company. But I think they are considering whether they want to buy some stock as part of a recap as well."

This is just one more step in the on going bidding war between Indianapolis-based Simon and Toronto-based Brookfield Asset Management.

On April 14, after a $9 per share takeover attempt was rejected, Indianapolis-based announced another bid to acquire GGP, which has been working on a $6.5-billion reorganization plan in bankruptcy court with assistance from investors such as Brookfield. Simon promised to match the Brookfield plan "but on a basis very substantially more favorable to GGP and its equity holders."

As GlobeSt.com reported earlier in April, Simon is joined by Paulson & Co., ING Clarion Real Estate Securities, Oak Hill Advisors, RREEF and Taconic Capital Advisors in its bid for GGP. Jointly the companies have pledged to invest $2.1 billion in GGP.

At the same time, J. Bruce Flatt, CEO and senior managing partner with Brookfield, said in a letter to GGP officials that Simon likely just wants to take over their company and that Simon's offer could result in anti-trust trouble.

Instant Insights /

Simon Could Sweeten GGP Bid with Blackstone

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