Private equity firm Orion Capital Managers LP is in early stage discussions to find a partner to buy out London-based mall landlord Intu Properties PLC, The Sunday Times reported.
A takeover bid could help the real estate investment trust avoid breaching covenants on roughly £1.1 billion of debt in the near future, the publication reported, citing a source close to the situation and analysts at broker Stifel.
Facing difficult operating conditions in the U.K., Intu saw its net rental income fall in the first half of 2019 and forecast a drop of between 4% and 6% in its rental growth for the full year.
