CBRE Group to acquire J&J Worldwide Services for $800M in cash

CBRE Group announced a definitive agreement to acquire J&J Worldwide Services from Arlington Capital Partners. The initial purchase price is $800M in cash, plus a potential earn-out of up to $250M, payable in 2027, subject to the acquired business meeting certain performance thresholds. In 2024, J&J is projected to produce more than $525M of revenue and approximately $65M of EBITDA, continuing its recent track record of low double-digit annual growth. Additionally, CBRE expects to benefit from tax attributes and synergies arising from the transaction. The acquisition is expected to be accretive to CBRE’s earnings in 2024. J&J primarily serves the U.S. Department of Defense through long-term, fixed-price contracts. The company employs more than 3,300 people worldwide, serving more than 250 hospitals, clinics and military installations primarily in the United States as well as in Europe, Asia, the Caribbean, and the Middle East.