Brookfield Office to Purchase MPG in Los Angeles Expansion
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Brookfield Office Properties Inc. agreed to buy MPG Office Trust, expanding its Southern California holdings to become the biggest office owner in downtown Los Angeles.
MPG’s common-stock holders will receive $3.15 a share in cash, 21 percent more than the closing price yesterday, the Los Angeles-based real estate investment trust said in a statement today. Brookfield also will begin a tender offer for MPG’s preferred stock for $25 a share in cash. The deal is valued at $2.2 billion including debt and after cash proceeds from the planned sale of MPG’s U.S. Bank Tower, said Wilkes Graham, a senior vice president at Compass Point Research & Trading LLC.