Aon to acquire leading real estate investment consultant Townsend Group; extending leadership position in financial investments Acquisition reinforces Aon’s position as a leading international expert services firm providing threat, retirement and health options
Aon, a global professional services firm providing a broad variety of risk, retirement and health solutions, accepted obtain The Townsend Group, majority-owned by Nest NorthStar Inc., a worldwide property and financial investment management firm.
London-based Aon is to spend for $475 million for Cleveland-based Townsend subject to particular purchase cost adjustments. No other financial terms were revealed by Aon.
NorthStar Asset Management Group Inc. paid $383 million in January 2016 for its 84% interest in Townsend Group– valuing the business then at $455 million.
Townsend offers worldwide investment management and advisory services mostly focused on real estate. This deal will bolster Aon’s offering in alternative personal market assets, reflecting the increasingly essential role they have in client portfolios.
With the integration of Townsend’s options into its financial investment organisation, Aon will broaden its financial investment capabilities considerably, that include contracted out primary financial investment officer (OCIO) services and advisory services for large and mid-sized worldwide organizations.
Aon’s Financial investment organization presently handles more than $100 billion of around the world assets1 and encourages on $4.2 trillion of properties internationally for more than 2,500 clients all over the world.
Townsend encourages on $175.7 billion in worldwide properties and manages $14.5 billion in properties. The firm’s customers consist of a lot of the world’s leading worldwide financiers in The United States and Canada, Asia, Europe and the Middle East.
“We mored than happy to have a large number of quality companies that wanted to partner with us, but it was the commonness of culture, approach and competence that led us to Aon,” stated Terry Ahern, CEO of Townsend Group.
Ahern will continue to lead property and genuine possession financial investment services as part of Aon’s Global Retirement & & Financial investment company.
“The divestiture of Townsend is certainly bittersweet for Nest NorthStar,” stated Richard B. Saltzman, president and CEO of Colony NorthStar, “but we’re extremely delighted that the gifted Townsend team has actually found an excellent new house with Aon. Townsend is an excellent non-core tradition NorthStar company, however by the closing of the Nest Capital/NorthStar merger in January of this year, it ended up being clear that the marketplace perceived a dispute with Colony’s institutional investment management service. For these reasons, Colony NorthStar’s sale of Townsend to Aon is a winning outcome for all 3 companies.”
Morgan Stanley & & Co. LLC functioned as special financial advisor for the deal.
The deal is anticipated to close over the next six months, based on traditional closing and worked out conditions.