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Savills Plc has completed its acquisition of US-based real estate investment bank Eastdil Secured LLC for an enterprise value of USD 1.1125 billion (approximately GBP 827 million), following the announcement of the proposed transaction earlier this year. The acquisition expands Savills' real estate investment banking platform across North America while strengthening its presence in Europe, the Middle East, Africa and Asia Pacific. Eastdil Secured will operate as Eastdil Secured Savills, retaining its existing business model within the Savills Group. The combined business will provide advisory services across major real estate sectors and is expected to become the world's second-largest adviser for prime commercial real estate transactions exceeding USD 100 million.
Savills Plc has completed its acquisition of Eastdil Secured LLC for an enterprise value of USD 1.1125 billion (approximately GBP 827 million), finalising a transaction first announced earlier this year. The acquisition combines Savills' international real estate advisory platform with Eastdil Secured's real estate investment banking business, expanding the group's capital markets capabilities across North America while strengthening its position in Europe, the Middle East, Africa (EMEA) and Asia Pacific.
The transaction was financed through a combination of loan facilities and the issuance of new Savills ordinary shares representing approximately 16% of the enlarged share capital. The new shareholders include Guggenheim, Temasek, Wells Fargo, members of Eastdil Secured's leadership team and its senior employees, who exchanged their equity interests in Eastdil Secured for shares in Savills.
Following completion, Eastdil Secured has been rebranded as Eastdil Secured Savills and will continue operating under its existing business model as the group's dedicated real estate investment banking platform. The business will continue advising clients on mergers and acquisitions, joint ventures, continuation vehicles, property sales, debt placement, structured credit transactions and loan sales.
According to Savills, the combined organisation will become the second-largest global advisory firm for prime commercial real estate transactions valued above USD 100 million. The acquisition is also expected to accelerate the company's strategy of expanding its real estate investment banking operations in North America while complementing its advisory services across other international markets.
As previously announced, Roy H. March will serve as Executive Chairman of Eastdil Secured Savills, overseeing client advisory and transaction execution. D. Michael Van Konynenburg has assumed the role of Chief Executive Officer with responsibility for day-to-day operations, corporate strategy and client advisory, while James McCaffrey has been appointed President to lead the firm's international expansion from London. Van Konynenburg and McCaffrey have also joined the Savills Group Executive Board.
The business will retain its principal offices in New York, Santa Monica and London, while integrating its existing network of 21 offices into Savills' operations spanning more than 70 countries.
Simon Shaw, Group Chief Executive of Savills Plc, said the acquisition creates a broader global platform capable of supporting clients throughout the property investment cycle. He stated that combining the expertise of both organisations would strengthen the group's ability to advise clients across real estate sectors and international markets.
D. Michael Van Konynenburg said completion of the transaction marks an important stage for the business, enabling it to combine Eastdil Secured's capital markets expertise with Savills' international advisory platform while continuing to deliver specialised investment banking services to clients.
Martin Fidden, Chief Executive Officer for Asia Pacific (excluding Greater China), said the acquisition strengthens Savills' capital markets offering across the region by combining Eastdil Secured's investment banking capabilities with Savills' advisory platform. Raymond Lee, Chief Executive Officer for Greater China, added that the combined platform would enhance the firm's ability to support cross-border real estate investment by bringing together global capital markets expertise with local market knowledge across the region.
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