Deal struck to merge DTZ with C&W after Agnellis sell out

The definitive agreement to sell Exor’s 75 pct stake in C&W to a consortium led by US group TPG Capital and including PAG Asia Capital (PAG) and Ontario Teachers’ Pension Plan (OTPP), which acquired DTZ last June, is expected to be finalised in Q4 2015, subject to statutory approvals. It will provide the Agnelli family-controlled Exor with net proceeds of USD 1.278 bln (a capital gain of app . USD 722 mln). Last year C&W generated commissions and service fee revenues of USD 2.1 bln, adjusted EBITDA of USD 175.4 mln and an adjusted EBITDA margin of 8.4 pct.

Commenting on the transaction, Exor’s chairman and CEO John Elkann has said: “Today’s agreement creates a combined group of formidable reach and capability. It gives us great satisfaction to see a business we have owned for many years become part of a new powerhouse in the sector as it approaches its centennial year, reinforcing its prospects for even greater success in the future .

Brett White, DTZ’s executive chair who will become the chair and CEO of the combined company, has commented: “While breadth and depth are important to serve clients, it’s not just about size. It’s also about local expertise and deep customer service, which are strong traits of Cushman & Wakefield and DTZ, and ultimately what will differentiate us going forward,”

Upon the completion of the merger, Carlo Barel di Sant’Albano, the current international CEO of Cushman & Wakefield and EMEA CEO, will take a senior global leadership role. John Santora, the current CEO of North America at Cushman & Wakefield, will become chief operating officer and chief integration officer, and Tod Lickerman, the current global CEO of DTZ, will assume the role of president of the global company.