Updated from 11:47 a.m. ESTTroubled mall owner Mills Corp. ( MLS) agreed to be acquired by Brookfield Asset Management ( BAM) for $21 a share. The equity portion of the deal amounts to $1.35 billion. Including the assumption of debt and preferred stock, the transaction is valued at $7.5 billion. Brookfield, which has more than $50 billion in assets under management, is a Canadian asset manager focused on property and other infrastructure assets. Mills will merge into a new formed subsidiary of Brookfield. Instead of the $21 a share, Mills shareholders may elect to receive outstanding shares of a continuing public company managed by Brookfield that will hold Mills' assets. Shareholders must still approve the deal, and it will be interesting to see whether the large hedge funds invested in Mills believe the deal will make financial sense. On Tuesday, the two largest shareholders in the company, Farallon Partners and Gazit-Globe, each offered to recapitalize the company for about $21 a share. Mills shares jumped 17% Tuesday on the recapitalization proposals and closed at $17.77. The shares had plunged 20% last week after the company warned of a potential liquidity crisis. The stock recently surged $3.69, or 20%, to $21.46. The buyout ends a long search for a buyer for Mills, which had a disastrous 2006 amid accounting woes, a Securities and Exchange Commission investigation and development difficulties with its Meadowlands project in New Jersey, which it has since sold. "After a very competitive process, in which our board considered numerous alternatives for the company, we believe we have achieved an outcome that is the best possible result for all involved," said CEO Mark Ordan in a statement.