BREAKING: Bill Ackman’s Pershing Square offers to take over Howard Hughes for $85 a share

THE WOODLANDS, TX – CNBC and other outlets are reporting that Bill Ackman’s Pershing Square is forming a new entity to merge with Howard Hughes Holdings, offering current holders of the real estate company $85 a share.

Ackman is an American billionaire hedge fund manager who is the founder and chief executive officer of Pershing Square Capital Management, a hedge fund management company. The 58-year-old who graduated from Harvard has an estimated worth according toForbes of $9.2 billion.

Pershing currently owns about 38% of Howard Hughes, after having first invested in it in 2010 in a $250 million rights offering at $47.62 per share. Over the last 14 years, Pershing’s investment produced a 35% total return, or a 2.2% compound annual return. The company has also paid zero dividends since its inception.

In a letter to the Howard Hughes board, Ackman stated, “We do not intend to make any changes to the HHC organization, its employees, or its long-term strategy. We would expect all HHH current employees to remain employed as a result of the transaction.”

Woodlands Online has reached out to Howard Hughes for comment. Stay tuned for updates to this breaking story.