The board of directors of The Macerich Company unanimously rejected Simon Property Group’s unsolicited offer to acquire the company for  $95.50 in cash and stock.

Macerich said late Tuesday night that its board carefully reviewed the revised offer and had the assistance of financial, real estate and legal advisors in its decision. Macerich said the offer “substantially undervalued”  Macerich and was not in the best interests of its shareholders.

“Our board carefully reviewed Simon Property Group’s revised proposal and concluded that it does not reflect the full value of our company,” said Arthur Coppola, chairman and chief executive officer of Macerich. Coppola also said Macerich had “numerous embedded opportunities for future value creation and significant upside potential.”

Coppola cited a “rigorous business plan, a strategy of recycling out of lower growth assets and deploying capital into highly productive  assets.”

He said Macerich has a goal of increasing operating margins by a target of 4 percent over the next 18 to 24 months through property level expense reductions and common area enhancements. He also said the company will expand its outlet  program “selectively and opportunistically.”

Fred Hubbell, lead independent director of Macerich, said the board concluded it was not the right time to sell the company and that it was committed to continuing to grow stockholder value.

Simon had previously said that $95.50 was its best and final offer. Simon said that in light of Macerich’s refusal to hold discussions with Simon, it decided  to withdraw its $95.50 per share offer.

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