Savills has completed the circa £827m acquisition of Eastdil Secured.
The transaction, which was announced in March this year, was funded through loan finance and the issue of new ordinary shares in Savills, representing approximately 16% of the group’s enlarged share capital, to the ultimate holders of equity interests in Eastdil Secured.
This includes Guggenheim, Temasek and Wells Fargo along with the Eastdil Secured leadership team and senior employees, all of whom have become shareholders in Savills in exchange for their existing interests in Eastdil Secured.
Eastdil Secured will be rebranded ‘Eastdil Secured Savills’ with immediate effect and will continue to operate its existing business model within Savills Group as the group’s real estate investment bank.
The executive leadership team of Eastdil Secured Savills comprises: Roy H March as executive chairman; D Michael Van Konynenburg as chief executive officer; and James McCaffrey as president, who will be responsible for spearheading international growth from London. Van Konynenburg and McCaffrey will both join the Savills Group executive board.
Simon Shaw (pictured), group chief executive of Savills, said: “Together we provide a stronger, globally connected platform enabling us to deliver for clients at every stage of the property cycle. We are thrilled to welcome like-minded colleagues to the group and I believe that, together, we have an extraordinary opportunity to fulfil client needs across all real estate sectors and geographies.”
Van Konynenburg added: “This is an important milestone for our firm. With the transaction complete, we look forward to working alongside our colleagues at Savills to broaden the expertise and resources available to our clients while continuing to deliver the unparalleled capital markets expertise, execution and discretion that have long defined Eastdil Secured. Together, we are well positioned to expand our capabilities and create new opportunities for our clients and our people.”
McCaffrey said: “This combination enhances our ability to deliver advice, execution and market insight through a broader global platform for clients in EMEA – and around the world – whose strategies increasingly span markets and borders. By bringing together strength with strength, we are better positioned to help clients capitalise on new opportunities through our combined expertise.”
James Sparrow, CEO of Savills UK and EME, added: “The coming together of Eastdil Secured and Savills is one of the most exciting developments in my long career with the firm. The two businesses are incredibly complementary in terms of what we do and who we work for. Most critically our cultures are totally aligned. I believe this will result in a unique, holistic and best in class offering for our clients and it will be transformational for our EMEA platform, as well as the wider group.”
