UK agent Weatherall Green & Smith’s prospective partners in France and Germany look set to be ejected from Colliers, the global referral network.
The expulsion has been driven by fears of a conflict of interest between WG&S and Colliers’ partner in the UK, Colliers Conrad Ritblat Erdman.
Last week, WG&S announced it was in negotiations to sell a majority stake in the 419-strong partnership to Vendôme Rome, the French investment company that owns August Thouard in France and Müller International in Germany. These firms are both members of Colliers.
The US-based Colliers network feared that, once the French and German firms had WG&S as a partner, the flow of referral to CCRE would cease.
After the 12 October announcement of the WG&S takeover, urgent talks were held in Barcelona by Colliers’ six-strong global governing board, which had been aware of the deal for six months.
Earlier, an ultimatum was delivered to Michel Moubayed, head of Vendôme, that he had to drop the WG&S deal or face ejection from the network. It is understood that he refused.
A joint statement issued by Colliers and Moubayed said that discussions have been started about membership in Colliers of the Vendôme Rome subsidiaries.
Chris Pieroni of CCRE, who is a member of the Colliers board, said: “The two parties have admitted to having concerns about the organisational changes.”
CCRE is attempting a management buyout from UK property company Delancey. It is understood that the Colliers’ revenue, most of which flows from the US, makes a substantial contribution to profits.
CCRE said it received no revenues from the French and German partners.
