Shares of Los Angeles-based Maguire Properties Inc., Orange County’s second-largest office landlord, were down 20% in midday trading Friday, as the company said it was no longer considering a sale.
The real estate investment trust, whose OC properties have been hit hard by the subprime mortgage meltdown, cited current credit market conditions and lack of viable proposals as the reason it was no longer exploring a sale.
Instead, the company will focus on non-sale options to enhance liquidity, including a dividend policy, officials said.
Shares fell more than 20% on the news. Maguire now counts a market value of about $660 million.
In December, the company formed a panel of independent directors to focus on strategic alternatives, including a possible sale of the company.
Most notable, chief executive and company namesake Robert Maguire was said to be looking to take the company private in a bid with an investor group that includes Colony Capital LLC and the Qatar Investment Authority.
Other bidders were believed to be Toronto-based Brookfield Asset Management Inc. and its New York-based affiliate Brookfield Properties Corp., as well as Chicago-based Walton Street Capital LLC.
