Cushman and Wakefield to merge with DTZ

Investors, including private equity firm TPG, are reported to have funded the merger of DTZ and Cushman & Wakefield, to the tune of $2.5 billion, creating the world’s second largest commercial property services firm in terms of revenue.  

The new company, which will operate under the Cushman & Wakefield brand, is expected to have annual revenues of more than $6.8 billion and 43,000 employees.

Brett White, who will assume the role of chairman and chief executive officer of the combined company, says the two organisations have “remarkably complementary skills and reach in different geographies” which will amount to a “formidable combination”.

White, who has more than 30 years’ experience in the real estate industry, was the previous chief executive officer of CBRE.

Founded in 1917, Cushman & Wakefield has 259 offices in 60 countries, employing more than 16,000 professionals. DTZ has more than 26,000 employees operating across more than 260 offices in countries.

TPG, the private equity company behind DTZ, is understood to have initiated the deal.

Ben Gray, TPG’s joint managing partner in Asia says that the merger is “one of the most exciting growth stories in this industry”.

“Our ambitions for the new Cushman & Wakefield are great and we stand ready to assist this global leader to continue to grow and flourish through our relationships, energy and capital,” Gray says.

The transaction is expected to close before the end of the year and is subject to standard closing conditions.