By  on April 2, 2010

Mall operator General Growth Properties Inc. filed a plan to exit bankruptcy that includes a $6.55 billion infusion from Brookfield Asset Management, Pershing Square Capital Management and Fairholme Capital Management, and values the company at $15 a share.

But General Growth, which rejected a takeover offer of about $9 a share from Simon Property Group Inc. in February, is also keeping its options open.

The plan to exit bankruptcy, filed in Manhattan bankruptcy court late Wednesday, includes the formation of General Growth Opportunities, a new company that would own the firm’s master planned communities and some of its landmark assets, including the South Street Seaport in New York.

“This proposed transaction represents an important step toward our goal of creating the greatest value for all our stakeholders,” said Adam Metz, chief executive officer. “It provides for a $6.55 billion investment at a value of $15 per share and par plus accrued recovery for unsecured creditors, while providing [General Growth] with the flexibility to explore even better alternatives for an emergence transaction.”

Shares of General Growth slipped 0.9 percent to $15.95 Thursday.

The S&P Retail Index rose 0.4 percent, or 1.82 points, to 451.61, as the Dow Jones Industrial Average advanced 0.7 percent, or 70.44 points, to 10,927.07.

• Wet Seal’s Capital Streamlining: The Wet Seal Inc. struck a deal to pay off secured convertible notes due 2012 and convert Series C convertible preferred stock to common stock, which gives the retailer more flexibility while streamlining its capital structure.

Wet Seal gave an investor who held some of the securities a $700,000 cash payment as incentive to make the switch. The firm also will take a $1.1 million noncash interest charge in the first quarter.

“We are pleased to have retired the last of our outstanding notes and preferred stock, which simplifies our balance sheet and eliminates several limitations previously placed on us by the notes indenture, including restrictions on our ability to repurchase our common stock,” said Ed Thomas, ceo.

Wet Seal’s stock dipped 0.2 percent to $4.75 Thursday.

• Fourth Time the Charm for Talbots?: The Talbots Inc. extended a warrant exchange offer by one day Thursday, pushing the deadline back for the fourth time. The exchange needs to be completed before Talbots can merge with BPW Acquisition Corp. As of the previous deadline, at 6 p.m. Wednesday, 87.9 percent of the warranted issued when BPW went public were tendered. Ninety percent are needed for the merger to proceed.

Shares of Talbots rose 4.8 percent to $13.58.

• Offshore Increases: International markets moved up Thursday, with the CAC 40 up 1.5 percent to 4,034.23 in Paris, the Hang Seng Index up 1.4 percent to 21,537 in Hong Kong, the Nikkei 225 ahead 1.4 percent to 11,244.40 in Tokyo and the FTSE 100 advancing 1.2 percent to 5,744.89 in London.

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