New Delhi: One of the world’s largest commercial real estate services?firm,?Cushman & Wakefield Inc., is looking to make strategic acquisitions in India or in the Asia region to expand its service offerings and reach.
Cushman is looking at firms providing services in retail and planning and managing developments. In India, the company wants to expand in areas such as project management and facilities management. Cushman is also looking to take advantage of the growing fight for space among retailers in India.
Strategic move: Cushman CEO Bruce Mosler says the firm does not believe in acquiring just to gain market share or increase revenue.
“We think the time is right to expand our retail services and the hospitality and health-care sectors, which we think is also a growing sector in India,” said the firms’s president and chief executive officer Bruce Mosler. He said the firm was looking to grow organically and through acquisitions, wherever opportunities present themselves.
The company has close to $350 million (Rs1,376 crore) in cash to invest in the growth of its business worldwide. Cushman has earmarked a significant amount of this capital to be invested in Asia, but did not give details.
Cushman, however, does not want to acquire firms offering similar services. “We don’t believe in acquiring companies just to gain market share or increase our revenue,” Mosler said. India is a critical market for Cushman and is the driver behind its Asia growth. But the firm has very little debt on its balance sheet, Mosler said. “This gives us more muscle to make an acquisition if the fit is there.”
As a percentage of the firm’s Asia operations, India contributes 35% of the revenue and is growing at 37%. Cushman’s revenues for 2007 will be close to $2 billion. It is present in 56 countries with more than 12,000 employees.
Real?estate?consultancy firms are looking at expanding their operations in India to cash in on the growing realty market.
In June, global real estate services firm, Jones Lang LaSalle and the privately held real estate services firm in India, Trammell Crow Meghraj, merged their India operations. The new company formed out of the merger is called Jones Lang LaSalle Meghraj. The merger gave Jones Lang LaSalle Meghraj an immediate increase in the scale of its operations in India and it’s now the largest real estate services firm in India with 2,800 employees and offices in 10 cities.