Pershing Square Submits Revised Bid for Howard Hughes Holdings

Billionaire investor Bill Ackman's Pershing Square has proposed a revised bid to acquire 10 million newly issued shares of Howard Hughes Holdings (HHH) at $90 per share. This purchase would grant Pershing Square ownership of 48% of HHH's stock.

As part of the agreement, Ackman would assume the roles of Chairman and CEO of the real estate developer. The plan includes Pershing Square's commitment to establish HHH as a diversified holding company, akin to the model of Berkshire Hathaway.

"We intend to provide HHH with the full resources of Pershing Square to acquire controlling interests in private and public companies that meet our stringent criteria for business quality," Ackman stated.

This revised bid marks Ackman's second attempt to acquire HHH. In January, he proposed purchasing 11.8 million shares at approximately $85 per share. Following the announcement of the updated bid, HHH's shares experienced an initial surge of 6% in afternoon trading. However, shares retreated by around 4% in after-hours trading as investors digested the details of the plan.

Ackman has expressed his intention to adopt shareholder-oriented principles similar to those employed by Warren Buffett at Berkshire Hathaway, with a focus on long-term value creation. Pershing Square's investment portfolio includes stakes in companies such as Brookfield, Restaurant Brands, Chipotle, and Howard Hughes.

Ackman will host a live question-and-answer session for investors regarding the proposed deal at 9:00 AM ET on Wednesday, providing an opportunity for further insight into his vision for HHH.