Weston Presidio has invested an undisclosed amount in real estate franchisor RE/MAX LLC, as part of a larger leveraged transaction.
Weston Presidio, a leading private equity firm, is making a strategic investment in the global real estate franchisor, RE/MAX, LLC. As part of a larger financial transaction, which included debt refinancing with more favorable terms, the Weston Presidio investment provides RE/MAX with increased flexibility for growth. RE/MAX operations are unchanged with current management remaining in place, including the day to day leadership of co-founders Dave and Gail Liniger.
With its minority investment, Weston Presidio obtains two seats on the RE/MAX Board of Directors. Board appointments have been accepted by Weston Presidio partners Chip Baird and David Ferguson.
“Dave and Gail are true pioneers who revolutionized the real estate industry when they founded RE/MAX more than 35 years ago based on a unique agent-centric, high commission concept,” said Baird. “With a very skilled management team led by CEO Margaret Kelly, RE/MAX is well-positioned as the market recovers, and we look forward to being a part of their continued innovation and growth.”
“This investment in RE/MAX fits perfectly with our strategy of seeking out companies with strong management and a unique value proposition,” said Ferguson. “Our objective is to contribute to the success of the widely respected RE/MAX brand and be an integral part of its increasing market share and worldwide expansion.”
With the most productive sales force in real estate, nobody in the world sells more real estate than RE/MAX. Recently released independent surveys1 have shown that RE/MAX agents significantly outperform their competition with much higher transactions per agent.
In 2009, the red, white and blue RE/MAX Hot Air Balloon began flying in eight new countries, and worldwide franchise sales topped 630. RE/MAX has an international presence greater than any of its competitors.
“This marks a significant milestone in our history, and we’re very proud to be associated with Weston Presidio,” said RE/MAX Chairman and Co-Founder Dave Liniger. “We believe that the entire RE/MAX organization will benefit from Weston Presidio’s resources and extensive services expertise, as we remain focused on helping our affiliates assist their clients with quality real estate service.”
With a real estate recovery now taking hold of the market, RE/MAX has experienced five straight months of agent growth. With Weston Presidio on its team, RE/MAX is planning for continued success in the coming years, in North America and around the world.
1. The Real Trends 500 Report, www.realtrends.com
The RIS Power Broker Survey, www.rismedia.com
RE/MAX Press Releases, www.remax.com
About Weston Presidio
Weston Presidio is a leading private equity firm focused on growth capital investments across a range of sectors including business services, manufacturing and industrial, and consumer and retail. Since its founding in 1991, it has managed five investment funds aggregating over $3.3 billion. The Weston Presidio team has helped identify, build and maximize value in over 300 leading growth companies.
For more information, please visit www.westonpresidio.com.
RE/MAX was founded in 1973 by Dave and Gail Liniger. From a single office in Denver, Colorado, it has grown into a global network of nearly 100,000 Sales Associates in more than 75 countries. RE/MAX has been recognized as the leading real estate franchise in the “2009 Franchise Times Top 200,” and has also been recognized as the top real estate franchise for nine of the past 11 years in the “Franchise 500” survey, published by Entrepreneur magazine.