IWG has signed a franchise agreement to sell its workspace business in Switzerland to an entity jointly owned by J Safra Group and P Peress.
IWG will receive gross consideration of CHF120m (£92.5m) in cash at completion. As part of the deal, the buyer will have exclusive rights to the use of IWG’s brands in Switzerland.
The deal consisted of 38 flexible co-working locations as at 30 September. It is expected to complete at the end of November.
Mark Dixon, chief executive of IWG, said: “Both groups are seasoned real estate investors with deep knowledge of our markets, and we are entirely confident they will augment the continued growth of IWG and its brands.
“This transaction builds on the successful completion of similar deals in Japan and Taiwan earlier this year and further demonstrates the continued interest from third parties wanting to operate IWG’s brands across a wide range of geographies.”
The J Safra Group has total assets under management of more than $249bn and aggregate stockholders’ equity of $18.9bn. It is controlled by the Joseph Safra family.
The P Peress Group, controlled by the Peress family, has investment holdings and interests in commercial, residential, operational and lifestyle-related real estate.
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