AUSTRALIA: Australia’s leading independent global property consultancy, Knight Frank, in collaboration with Bayleys, New Zealand’s largest full-service real estate company, proudly announces the successful acquisition of McGrath Limited. This acquisition, finalized through a scheme of arrangement, grants Knight Frank and Bayleys a controlling stake in McGrath, marking a pivotal moment for all parties involved.
After obtaining shareholder and regulatory approvals, the Scheme of Arrangement took legal effect on June 17, leading to the suspension of McGrath’s shares on the ASX the following day. The scheme was fully implemented on June 27, solidifying the acquisition.
Under the new arrangement, McGrath’s board of directors will feature industry stalwarts including McGrath’s founder and CEO John McGrath, Knight Frank Australia CEO James Patterson, Knight Frank Global Head of Residential Rupert Dawes, Bayleys Managing Director Mike Bayley, and Bayleys Finance Director Ken MacRae. John McGrath will continue to serve as Chief Executive and Managing Director while maintaining a significant 23.3% shareholding in McGrath.
John McGrath expressed his enthusiasm about the partnership, emphasizing the strategic benefits it brings to McGrath, particularly in accessing global networks and high-net-worth buyers essential for competing in premium real estate markets. He outlined ambitions to strengthen McGrath’s position as Australia’s premier real estate brand with this formidable partnership.
Knight Frank and Bayleys, both privately owned entities, have nurtured a strategic relationship since 2018, culminating in the acquisition of McGrath, which returns the residential real estate network to private ownership after its ASX listing in 2015.
For Knight Frank, this acquisition underscores its commitment to Australia, significantly bolstering its presence as the largest outside of the UK. The partnership not only enhances Knight Frank’s global network but also elevates Australia and New Zealand to one of the largest regions within it, surpassing even its UK operations in office count.
With a combined total of 276 offices across Australia, New Zealand, and the Pacific Islands, Knight Frank, Bayleys, and McGrath form a formidable alliance in the real estate sector. This collaboration promises expanded opportunities and enhanced client services across Australasia, supported by shared values of excellence and integrity in real estate services.
Mike Bayley of Bayleys highlighted the synergies between the companies, stressing their shared commitment to customer service and innovation across diverse property markets. He underscored the strategic advantages of pooling resources and expertise to benefit clients and agents alike, fostering growth and diversity in the industry.
This acquisition not only marks a significant milestone in the real estate sector but also sets the stage for McGrath, Knight Frank, and Bayleys to lead and innovate in the Australasian market, driven by shared values and a collective vision for excellence.
