CBRE has acquired a 60 per cent ownership interest in, and entered into a strategic partnership with, Turner & Townsend, a provider of program management, cost consultancy, project management and advisory consulting services for clients in 46 countries.
The strategic partnership between the two companies sees them establish a premier, global provider of program, project and cost management, underpinned by a unique client offer.
Turner & Townsend operates across three business segments: Real Estate – serving investors and occupiers across all property types, including data centres and life-science properties; Infrastructure – notably, transportation, environmental and power generation projects, and Natural Resources – renewable energy, alternative fuels, liquified natural gas and other projects.
CBRE has acquired the 60 per cent stake for approximately £960 million ($1.3 billion) in cash, with 55 per cent paid upon closing. The transaction preserves Turner & Townsend’s existing leadership team, heritage, operational independence and partnership structure, which will hold the remaining 40 per cent ownership interest. The transaction values Turner & Townsend at approximately £1.6 billion ($2.2 billion) and is expected to be immediately accretive to CBRE’s earnings.
Bob Sulentic, CBRES’s President and Chief Executive Officer commented: “This is a very exciting step that advances CBRE’s diversification strategy across four dimensions – asset types, lines of business, clients and geographies.
“Public and private sector infrastructure investment and the drive to a low-carbon economy are fuelling secular growth opportunities in project management. Turner & Townsend is by far the best firm to help us realise our ambitions for this business. Their first-rate brand and capabilities – when combined with our own – will enable both firms to best serve clients and capture the sizeable opportunities in the marketplace.”
Vincent Clancy, Chairman and CEO of Turner & Townsend said: “As asset classes evolve and the world transitions to net zero, clients require even greater sector specialisation and industry insight to drive value and unlock opportunities. CBRE and Turner & Townsend will meet this need by aligning our skillsets, providing access to a global talent pool of more than 16,000 program, project and cost managers as well as the industry’s largest repository of project performance data.
“The combination of our talented team, operational independence, global footprint and commitment to investment will deliver significant benefits for clients while providing a great place for our people to advance their careers.”
Clancy and the existing Turner & Townsend management team will continue to run the company on a day-to-day basis, and all its services will continue to be delivered under the Turner & Townsend brand.
Recruiting for soft FM services is proving more difficult in the post-Covid workplace. So, what can FMs do to overcome this?
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