Jones Lang LaSalle will merge with international property consultancy King Sturge, with the two firms combining European operations. The combined firm will benefit from enhanced strength and depth of service capabilities across the United Kingdom and continental Europe.
The transaction is expected to close on May 31. Under its terms, Jones Lang LaSalle will pay consideration of 197 million pounds Sterling ($319 million) to the partners of King Sturge, with 98 million pounds Sterling in cash at closing, with the balance paid out in cash over five years.
All 43 King Sturge offices and businesses across Europe, including 24 in the United Kingdom, will become part of Jones Lang LaSalle and will operate under the Jones Lang LaSalle brand. Integration of business lines and teams, and the full rebranding of all business activities, will begin immediately.
The merger is expected to bolster overall service delivery capabilities to clients by providing access to international capital flows; adding significant depth and scale to a range industrial, global logistics and retail services; and broadening the rapidly growing Central, Eastern and South-Eastern European markets.
JLL Chief Executive Andrew Gould will serve as chief executive of the merged business in the United Kingdom. Richard Batten, joint senior partner of King Sturge, will assume the role of U.K. Executive Chairman.
The merged business will operate in 70 EMEA markets across 30 countries, employing 5,300 people and providing integrated real estate services to investor, owner and occupier clients. The U.K. business will have 2,700 employees across 34 offices.