PUBLISHED: 8:56 a.m. 29 November 2018 | UPDATED: 9:19 November 29 2018
The £ 2.8bn deal to buy the Norwich owner of the Intu Chapelfield has been canceled.
Intu said market conditions meant the consortium – led by John Whittaker's Peel Group – could not continue the proposed bid within the time period specified in the takeover rules.
Mr Whittaker, chairman of The Peel Group, said: "We remain fully committed to Intu Properties as a long-term strategic shareholder, as indicated by our participation in a possible consortium offer.
"The portfolio of Intu's super regional and downtown shopping centers is a strong and profitable trade from the rationalization process of retail stores currently underway in the UK.
"Physical retail continues to play a key role in all successful multi-channel retail sales strategies and your national central portfolio enjoys some of the highest customer steps in the country."
The news will be an additional blow to Intu, after it was revealed earlier this month that it would lose House of Fraser as a tenant in a number of locations – including Norwich.
Future tenants for the spot have not yet been decided.
Intu shares fell 38% after announcing the failure of the deal this morning.
Intu said: "While market sentiment towards retail and retail property remains negative, Intu is confident of its commercial prospects."