DTZ selects UGL as preferred bidder
Published: 07 November, 2011
DTZ has selected Australian FM company UGL as preferred bidder for the company
Troubled global property services group DTZ has announced a major step forward in the formal sale process which began on 19 October 2011 following the collapse of an earlier bid backed by BNP Paribas.
The Australian FM company UGL has selected as preferred bidder for the company and now has until 6 December 2011 to make a formal offer for the company.
UGL is listed on the Australian Securities Exchange and has a current market capitalisation of A$2.1bn (£1.4bn) and total revenue of A$4.6bn (£3.0bn). The company specialises in corporate real estate advisory, integrated facilities management and project management and a potential combination of DTZ and UGL could create one of the world's largest real estate services operations.
The combined group would generate revenues of £1.2bn in 2011 with 24,000 permanent employees and 225 offices in 45 countries. DTZ's business is predominantly in Europe, Middle East and Asia Pacific while UGL operates primarily inAustralia,New Zealand, North America and theMiddle East
But DTZ warned shareholders that the UGL proposal is barely sufficient to pay off DTZ’s debt, meaning there is minimal value, if any, that may be attributed to the ordinary shares of DTZ.
