JLL, Staubach Deal Closes

Jones Lang LaSalle announced Friday the completion of the transaction to merge operations with The Staubach Co. Staubach specializes in tenant representation in the United States. The combined firm will operate under the Jones Lang LaSalle name. When the deal was announced last month, CPN cited Peter Roberts, JLL’s CEO of the Americas, saying the complementary cultures of the two firms was a major reason behind the merger. CPN also noted that the transaction does not include Staubach Retail Services or Cypress, Staubach’s investment development business, both of which will continue to operate under license agreements.Under the terms of the transaction, JLL paid $123 million in a combination of cash and assumed net liabilities and $100 million in stock at closing, with an additional $390 million paid out in cash over five years, for all of the outstanding capital stock of Staubach Holdings Inc. Potential earn-out payments of up to $114 million will be paid subject to the achievement of certain performance metrics. In the end, the total price for the deal may reach $727 million. Roger Staubach, the former Dallas Cowboy, will sit on the JLL board of directors, He is taking on the new role of executive chairman, Americas. Greg O’Brien, former Staubach CEO, will serve as CEO of brokerage, Americas, leading the newly created business. He will set strategic direction for tenant representation and agency leasing throughout the firm’s Americas region. John Gates, former Staubach President & COO, will be the president of brokerage, Americas. All of Staubach’s employees are also being integrated into the JLL organization. In a statement Roger Staubach noted, “The overwhelmingly positive reaction we have received since announcing the merger agreement last month has reinforced our conviction that we are doing the right thing for our clients and our people.”Click here for Blog Comments