CBRE Group has struck a deal to buy J&J Worldwide Services, a provider of maintenance service to the U.S. government, from private-equity firm Arlington Capital Partners for up to $1.05 billion in cash.
Dallas real-estate services and investment firm CBRE on Monday said it will pay an initial $800 million for J&J, which provide engineering services, base support operations and facilities maintenance to the government.
The deal, expected to close in the coming months, also includes a potential earn-out of up to $250 million, payable in 2027, subject to J&J meeting certain performance thresholds.
CBRE said it expects J&J to generate more than $525 million in revenue and Ebitda of $65 million this year. CBRE posted revenue of nearly $23 billion in the first nine months of 2023.
Washington-based private-investment firm Arlington Capital acquired J&J in 2020.
