In February, the publicly traded company entered into a $750 million acquisition agreement with BLUM CB Corp., an affiliate of BLUM Capital Partners and Freeman Spogli & Co. At press time, final terms had not been reached, but once they are, CB Richard Ellis will no longer be publicly held. Public stockholders will receive $16 per share in cash as part of the acquisition's terms.
With such dramatic changes brewing, management at CB Richard Ellis quietly celebrated a strong first-quarter showing at home in the United States and overseas.
First-quarter global revenue for CB Richard Ellis rose 4 percent over the same period in 2000 to $272.5 million, a climb company directors attribute, in part, to higher lease revenues and improved property and facility management fees. On the North American front, revenues increased 7 percent over first-quarter 2000.
"Despite economic softness in several of our key markets, each of our
business segments continues to generate revenue growth," reports Chief
Executive Officer Ray Wirta.
But, adds Wirta, while the framework for an overall successful 2001 is in place,
company officials remain cautious due to the ongoing softness of the U.S. economy.
"If [it] continues, it will impact our revenue growth for the balance of
the year," he notes. Revenues for the year 2000 reached $1.3 billion.
Not a company to put all of its proverbial eggs in one basket, CB Richard Ellis
has expanded its service offerings beyond real estate transactions. In March,
it announced the creation of a new "sport specialty group," CB Richard
The new affiliate offers high-end sports facility consulting and management
services, including full facility and event management, facility maintenance,
new facility operation design input support, performance benchmarking analysis,
and organizational development and training.