FirstService paid $22m (£13.8m) for Colliers International UK in the pre-pack deal it concluded this morning.
The sale to the Candian firm, which was a 29.9% shareholder in the struggling agent, left shareholders with nothing.
At the end of June, Colliers International UK had debts of £34m, including an £18m revolving credit facility with Barclays, which was due in September but has been settled as part of the deal.
Jay S Hennick, founder and chief executive officer of FirstService, said: “Adding these operations further strengthens our Colliers International global real estate services platform and is another step forward in our strategy to expand into new markets.
“Our guiding principle remains clear – create value for shareholders by becoming one of the world leaders in real estate services.
“This acquisition is another example of our disciplined approach to executing our strategy as we continue to deploy our capital prudently in this industry.”
Peter Humphries, chief financial officer and chief operating officer of Colliers International, said: “After working together as affiliates for many years, we look forward to realising the full potential of Colliers in the UK, Europe and globally under the leadership of Tony Horrell.
“As one of the largest commercial real estate services brands in the world, we remain focused on providing our clients’ exceptional service in each of the 62 countries in which we operate,”
Tony Horrell, chief executive of Colliers UK, added: “With the financial resources of FirstService, we now have the support we need to pursue our strategic growth plans in the UK, one of the most important real estate markets in the world.”
bridget.o’connell@estatesgazette.com
