CB Richard Ellis Services has received a proposal from an investor group led by Blum Capital Partners to purchase the 62% of the company it doesn’t already own for $15.50 per share, or $194.7 million. The offer values the giant real estate services company at $740 million, including $400 million of debt.
In addition to Blum Capital, the investor group includes Ray Wirta, CB Richard Ellis’ Chief Executive Officer, as well as other CB directors. CB employees will have the opportunity to participate as equity investors in the company. According to the Wall Street Journal, Mr. Wirta cited “additional financial flexibility,” such as the freedom to make capital investments in new technology, as the reason why investors and management want to take the company private. The proposal is subject to approval by CB Richard Ellis’ Board of Directors and stockholders. Los Angeles-based CB Richard Ellis has 250 principal offices in 37 countries and 10,000 employees worldwide and manages 600 million sq.ft. of property worldwide. Blum Capital is a leading private equity and strategic block investment firm wih $3.8 billion of equity capital under management.
For further details visit www.cbrichardellis.com.
