Intu Properties PLC (LON:INTU) has withdrawn its recommendation for shareholders to approve a takeover bid from Hammerson PLC (LON:HMSO).
A week ago Hammerson pulled its £3.5bn takeover offer for Intu, blaming pressure from shareholders and a tough UK retail market.
Intu on Wednesday said it has released Hammerson from its obligations to proceed with the deal.
The owner and operator of shopping centres added that it would not proceed with the scheme of arrangement.
READ: Hammerson calls off Intu takeover, citing tough retail market and shareholder pressure
Intu said it believes that “there is no realistic prospect” that all conditions would be satisfied.
While the terms of the transaction are "fair and reasonable", it is in the best interests of its shareholders and employees for the situation to now be resolved, Intu said.
As a result, upon Hammerson announcing that it will not exercise any rights it may have in implementing the takeover, the offer will end.
Intu added: “The board of Intu is entirely confident of Intu’s stand-alone commercial future and prospects as evidenced by the trading update issued on 17 April 2018."
In lunchtime trading, Intu’s shares fell 0.3% to 197.4p while Hammerson’s shares fell 0.2% to 537.6p.