The companies said Sunday that Simon will pay
Both companies said they agreed to settle litigation in
Simon went to court to back out of the original deal, saying Taubman was especially vulnerable because consumers would avoid its indoor malls during a pandemic. It also said Taubman was adding debt instead of cutting costs.
As in the original deal, the Taubman family will sell about one-third of its interest in the company and remain a 20% partner in the Taubman real estate subsidiary. The boards of both companies approved the deal and expect it will close late this year or early next year.
Malls were struggling for years before the pandemic, as more shoppers went online, but their condition grew more dire as the virus led to temporary store closures. Several key mall tenants have filed for bankruptcy this year, including
Two mall investors,
Simon, based in
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