Eastdil Secured Completes Management Buyout
Temasek and certain institutional clients of Guggenheim Investments partnered with Eastdil on the deal, leaving Well Fargo to retain a minority ownership interest in the company.
NEW YORK—Eastdil Secured has completed its management-led recapitalization with Temasek and certain institutional clients of Guggenheim Investments taking stakes in the company. Wells Fargo & Co. has retained a minority ownership interest in the real estate investment banking company.
The deal valued the firm at more than $400 million, according to the Wall Street Journal, and allows employees to eventually own more than 40% of the equity.
The investment banking unit, securities underwriting, trading and distribution for the REITs is staying at Wells Fargo. Businesses that were historically part of Eastdil are a part of the new entity, no longer subject to the banking regulations with the prior ownership.
Year to date 2019, Eastdil Secured has completed over $170 billion of global capital market transactions, including the $18.7 billion industrial portfolio sale for Global Logistics Partners. In addition, the firm has added new talent across office, multifamily, hospitality and credit since the deal was first announced earlier this year, including managing directors Phil Brosseau, Matt McCoy, Ryan Reid, Will Silverman, and Andy Wimsatt, according to CEO Roy Hilton March.
As previously announced, Eastdil Secured is maintaining its name and the company’s management committee remains the same. The firm continues to have its US headquarters in New York City and Los Angeles and its Europe headquarters in London, with additional domestic offices in Atlanta, Boston, Charlotte, Chicago, Dallas, Orange County, San Francisco, Seattle, Silicon Valley and Washington D.C., and additional international offices in Dubai, Frankfurt, Hong Kong and Tokyo.