Sir Frank Lowy's famous Westfield Corporation is set to be taken over by European shopping centre giant in a takeover deal said to be worth AUD$32.7 billion (NZ$$35.7b).

Unibail-Rodamco will take over the ASX-listed company to create a global property giant with 104 malls in 27 retail markets around the world.

The Lowy family said it intends to maintain an investment in the combined group.

Westfield chairman Sir Frank Lowy said the deal was "the culmination of the strategic journey Westfield has been on since its 2014 restructure".

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Sir Frank Lowy, chairman of the Westfield Corporation, after receiving his knighthood from Queen Elizabeth II during an investiture ceremony at Windsor Castle. Photo / Getty Images
Sir Frank Lowy, chairman of the Westfield Corporation, after receiving his knighthood from Queen Elizabeth II during an investiture ceremony at Windsor Castle. Photo / Getty Images

"We see this transaction as highly compelling for Westfield's security holders and Unibail-Rodamco's shareholders alike," Sir Frank said.

"Unibail-Rodamco's track record makes it the natural home for the legacy of Westfield's brand and business. We look forward to seeing Westfield continue to grow as part of the world's premier owner of flagship shopping destinations."

Shares in Westfield Corporation, the owner of shopping centres in the US and UK, were placed in a trading halt today pending the announcement of a potentially "significant" corporate transaction.

The shopping centre giant requested its shares be placed in a halt with immediate effect until December 14 or when an announcement is released to the market.

Westfield shares last traded on Monday at AUD$8.55.

The move comes just a few days after Sir Frank received a knighthood from the Queen at Windsor Castle.

Sir Frank was recognised for his contribution to the British economy after Westfield built two enormous shopping centres, one in London's Shepherd's Bush and one in Stratford City.

Founded in Sydney in 1953 by Frank Lowy and John Saunders, Westfield currently has interests in 35 shopping centres in the US and the UK, while its Australian and New Zealand centres are managed by the separately listed Scentre Group.

Lowy will retire as chairman of Westfield, but will chair an advisory board for the new company, while his sons Peter and Steven will also retain leadership roles.