Commercial Real Estate Blog

Jones Lang LaSalle (JLL) has completed the acquisition of Staubach. The terms of the agreement were covered previously in this post.

We previously reported that the deal was essentially done, but Jones Lang LaSalle (JLL) confirmed today that it is in fact buying Staubach. Jones Lang LaSalle is paying $613M for Staubach over 5 years, with $100M in stock and $123M in cash up front at the closing. An additional $114M in earnouts will be paid to Staubach depending on whether it meets certain performance goals, bringing the total acquisition price potentially to $727M.

The deal is expected to close by the third quarter. The acquisition caps on and off rumours of an acquisition. We indicated on June 9th that it was a done deal, and more details trickled in over the following week.

Globe Street is reporting that the Staubach and Jones Lang LaSalle (JLL) merger will be announced as early as today. They are also reporting that the acquisition price (of Staubach) is $835M, a $100M more than was previously reported.

Update (6/16): Forbes is also reporting that the merger will be announced as early as today, except they are reporting a that Jones Lang LaSalle is buying Staubach for $735m.

A little less than a week ago we reported that the rumours of Jones Lang LaSalle (NYSE: JLL) merging with Staubach were true, or so we had heard. Today, Property Week News out of the UK is providing additional credence by publishing a price for the acquisition, $735M.

Property Week’s article indicates that the acquisition price represents a 10x multiple on Staubach’s EBITDA, and a 1.8x multiple on revenues.

No formal announcement has been made, but it seems imminent from what we heard. And from what Property Week is publishing, it will be announced as early as next week. Jones Lang LaSalle and Staubach have refused to provide any comment on the merger rumours.

The deal would represent a smaller acquisition for JLL than the Trammell Crow deal it had chased, but lost to lose it to CBRE.