CB Richard Ellis Acquires London-Based Hillier Parker, Creating Global Services Platform Unique in Real Estate Industry.LOS ANGELES--(BUSINESS WIRE)--July 8, 1998--CB Richard Ellis There are several prominent people named Richard Ellis, including
See: New York Stock Exchange :CBG CBG corticosteroid-binding globulin. ), the world-market leader in real estate services, Wednesday announced the acquisition of London-based Hillier Hillier is a surname, and may refer to:
With this expansion move, CB Richard Ellis CB Richard Ellis Group, Inc. NYSE: CBG is a multinational real estate corporation currently based in Los Angeles, California, U.S.A.. On December 20, 2006, the corporation, also known as CBRE, completed acquisition of Trammell Crow Co. in a transaction valued at $2. becomes the first and only real estate services company with a platform to deliver integrated real estate services through one commonly owned, commonly managed company -- across the world's major business capitals. "This acquisition marks the completion of a critical phase of our business and client service strategy," said Jim Didion, chairman and CEO (1) (Chief Executive Officer) The highest individual in command of an organization. Typically the president of the company, the CEO reports to the Chairman of the Board. of CB Richard Ellis. "Following our April merger with REI Limited to create CB Richard Ellis, London remained the only major business center where we didn't have a significant presence. "Now we're there and everywhere else our clients need us to be. We're now in a position to provide consistent serviceand a high degree of accountability to our corporate, institutional and individual clients through a single global platform." Didion added: "Our expansion is a response to two major changes in the business environment. First, corporate America, corporate Europe and corporate Asia are increasingly seeking consistent cross-border service as they become more efficient and simultaneously more global in their activity. "They also are outsourcing an ever-larger share of their non-core-business activities, including real estate operations and the strategic planning Strategic planning is an organization's process of defining its strategy, or direction, and making decisions on allocating its resources to pursue this strategy, including its capital and people. of transaction and facilities management The management of a user's computer installation by an outside organization. All operations including systems, programming and the datacenter can be performed by the facilities management organization on the user's premises. . Second, the globalization globalization Process by which the experience of everyday life, marked by the diffusion of commodities and ideas, is becoming standardized around the world. Factors that have contributed to globalization include increasingly sophisticated communications and transportation of real estate capital markets portends growth for CB Richard Ellis as well, as investors -- real estate investment trusts and Wall Street opportunity funds, among them increasingly seek investment opportunities worldwide. "With Hillier Parker, our presence in London -- one of the most important business centers in the world -- is second to none, and our global service delivery web is complete," he added. CB Richard Ellis, now with more than 9,000 employees, operates in 29 countries with more than 200 principal offices in North America North America, third largest continent (1990 est. pop. 365,000,000), c.9,400,000 sq mi (24,346,000 sq km), the northern of the two continents of the Western Hemisphere. , Latin America Latin America, the Spanish-speaking, Portuguese-speaking, and French-speaking countries (except Canada) of North America, South America, Central America, and the West Indies. , Europe, the Middle East, Africa, Asia and Australia. The company is engaged in all aspects of property sales and leasing, property management, corporate advisory services advisory services advisory services provided to the public, in their capacity as owners and managers of animals, are an important part of veterinary science. They may be provided by government bureaux, by commercial companies who deal in pharmaceuticals or animals or animal and facilities management, mortgage banking, investment management, capital markets, appraisal/valuation and market research. Robert Farnes, senior partner of Hillier Parker, who will become chairman of CB Hillier Parker, as CB Richard Ellis will be known in the U.K., said: "Being excellent in our own marketplace is no longer adequate, as a growing number of our clients demand a much more powerful international dimension. This is particularly the case in the areas of investment services, work for the international corporate sector and the whole area of shopping center shopping center, a concentration of retail, service, and entertainment enterprises designed to serve the surrounding region. The modern shopping center differs from its antecedents—bazaars and marketplaces—in that the shops are usually amalgamated into development. "With CB Richard Ellis being a commonly owned and managed organization, we are now able to deliver this capability at a consistently high quality with greater accountability internationally." Rod Grant, managing partner of Hillier Parker, who will become managing director of CB Hillier Parker, said: "A service business is dependent on its people, and this move will enable us to continue to attract and retain the best professionals in the industry. We will also have the resources to make critical investments in systems, training and research." Donald Newell, formerly senior partner of Hillier Parker, will serve on the CB Richard Ellis Executive Committee and will, with Barry White, the former chief executive of REI, become the co-chairman of the company's European Division. The purchase price for Hillier Parker was $70.1 million, payable in a combination of cash and stock. CB Richard Ellis also has agreed to establish a special incentive compensation plan for senior Hillier Parker employees with a potential payout over three years of over $12 million, and to assume the responsibility for paying various annuities at a cost of approximately $15 million. CB Richard Ellis expects the acquisition to be accretive to earnings per share on a full-year basis, based on Hillier Parker's performance for the fiscal year ended April 30, 1998. For the 12 months ended April 30, 1998, Hillier Parker reported EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) A metric used to show a company's profitability, but not its cash flow. EBITDA became popular in the 1980s to show the potential profitability of leveraged buyouts, but has become (earnings before interest, income taxes, depreciation and amortization) in excess of $13.2 million. About Hillier Parker Hillier Parker, with 500 employees in six offices (City of London, West End, Manchester, Birmingham, Edinburgh and Glasgow), was founded in London in 1896. The firm provides a full range of property services to institutional, corporate, retail and individual clients throughout the U.K. In the financial year ended April 1998, Hillier Parker arranged investment transactions with an aggregate value of approximately $3.3 billion and fund manages for a number of institutional clients approximately $1.7 billion of property. The firm's property management portfolio has approximately 6,000 tenants and assets valued in the order of $9.9 billion. In addition to valuing approximately $45.4 billion of property assets last year, Hillier Parker is currently leasing 38 shopping centers in the U.K. and completed sales of sites and buildings and leases in the retail, office and industrial sectors in excess of 9.5 million square feet last year. CB Richard Ellis is the world's leading real estate services company. With headquarters in Los Angeles Los Angeles (lôs ăn`jələs, lŏs, ăn`jəlēz'), city (1990 pop. 3,485,398), seat of Los Angeles co., S Calif.; inc. 1850. and more than 9,000 employees worldwide, the company serves real estate owners, investors and occupiers through more than 200 principal offices in 29 countries. Services include property sales and leasing, property management, corporate advisory services and facilities management, mortgage banking, investment management, capital markets, appraisal/valuation and market research. CB Commercial and REI Limited, which merged in April 1998 to form CB Richard Ellis, reported 1997 revenues of $730 million and $118 million, respectively. For more information on CB Richard Ellis Services Inc. (via facsimile and at no cost), call 800/PRO-INFO and dial client code CBG. If calling from outside the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. , dial 908/544-2850. Forward-Looking Statements This release may contain forward-looking statements as well as historical information. Forward-looking statements, which are included in accordance with the "safe harbor Safe Harbor 1. A legal provision to reduce or eliminate liability as long as good faith is demonstrated. 2. A form of shark repellent implemented by a target company acquiring a business that is so poorly regulated that the target itself is less attractive. " provisions of the Private Securities Litigation Reform Act The Private Securities Litigation Reform Act of 1995 (PSLRA) implemented several significant substantive changes affecting certain cases brought under the federal securities laws, including changes related to pleading, discovery, liability, class representation and awards fees and of 1995, may involve known or unknown risks, uncertainties and other factors that may cause the company's actual results and performance in future periods to be materially different from any future results or performance suggested by the forward-looking statements in this release. Such forward-looking statements speak only as of the date of this release. The company expressly disclaims any obligation to update or revise any forward-looking statements found herein to reflect any changes in company expectations or results or any change in events.
CONTACT: CB Richard Ellis, Los Angeles
Cary Brazeman, 213/613-3227
or
Hillier Parker
Robert Farnes, 44-171-629-7666
or
Financial Relations Board
Karen Taylor, 310/442-0599
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