Ackman launches takeover bid

Article Excerpt

HOWARD HUGHES HOLDINGS INC. $75 is a hold. The company (New York symbol HHH; Manufacturing sector; Shares outstanding: 49.7 million; Market cap: $3.7 billion; No dividend paid; Takeover Target Rating: Medium; www.howardhughes.com) was originally part of billionaire businessman Howard Hughes’ real estate holdings. Today, it’s a Dallas-based developer of housing, commercial and mixed-use properties in five U.S. states. Activist investor Bill Ackman, through his Pershing Square hedge fund, holds roughly 37.6% of Howard Hughes and serves as its chairman. Pershing has now offered to merge Howard Hughes with one of Pershing’s own businesses. Investors would receive $85.00 a share, in either cash or shares in the newly merged company. The company has formed a special committee of independent directors that will review Pershing’s offer. Howard Hughes is a hold. hold…